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Former Riot Platforms VP launches Bitcoin securitization venture to accelerate the adoption flywheel

Former Riot Platforms VP launches Bitcoin securitization venture to accelerate the adoption flywheel
© Copyright Image: CryptoSlate

Pierre Rochard announced on April 7 a new firm focused on Bitcoin (BTC)-backed structured finance, called The Bitcoin Bond Company, with the goal of acquiring $1 trillion in BTC by 2046 on behalf of its clients.

Rochard is the former vice president of research at Riot Platforms and will serve as CEO of the new BTC-focused venture.

The company plans to bridge institutional capital with Bitcoin through a regulated framework of structured products with third-party custody.

Bitcoin products for institutional demand

According to Rochard, the firm will target credit allocators seeking volatility protection and equity risk-takers pursuing Bitcoin outperformance. Its long-term goal, subject to market conditions, includes acquiring $1 trillion worth of BTC on behalf of clients over the next 21 years.

Providing further context to CryptoSlate on the timing and motivation behind the launch, he noted that the concept of a BTC-backed securitization company had been on his mind since first learning about Bitcoin, aligning naturally with his background in asset-backed finance. 

Rochard said the idea became more tangible following the election of President Donald Trump, which signaled a shift in regulatory posture.

He added:

Going forward, the SEC [Securities and Exchange Commission] will be depoliticized and merit-neutral, meaning that bitcoin-backed financial products will be regulated in a balanced way to protect the integrity of US capital markets. This will give established financial institutions the comfort needed to constructively engage with bitcoin.

Rochard highlighted a vision for expanding access to Bitcoins utility by packaging the asset into structured finance vehicles that meet institutional requirements for transparency, regulation, and risk management. 

This approach aligns with a broader trend of institutional products built on top of crypto-native assets, including exchange-traded products (ETPs) and asset-backed notes.

The announcement stated:

The Bitcoin Bond Companys mission is to create long-term relationships between credit allocators and risk-takers. We can unlock value for capital markets with bitcoin-backed structured finance that provides transparent, regulated, and efficient risk transfer for the global strategic reserve asset.

He added that the success of recently launched Bitcoin ETFs has validated market appetite, assessing that metrics make these funds the most successful product launches in the history of the financial industry.

Rochard argued that institutional investors are often constrained by volatility, while risk-seeking participants are looking for leveraged opportunities. He sees The Bitcoin Bond Companys role as bridging these profiles with structured instruments designed to accommodate both.

The Bitcoin Bond Companys mission is to bring these two categories together with responsible bitcoin-backed products that create long-term value for both sides.

Utility and Satoshis vision

Rochard framed the launch as part of a broader effort to fulfill Bitcoins original utility as decentralized, electronic cash.

He said that Bitcoins market divides participants into four categories: those who dismiss it, cautious investors wary of volatility, speculators who attempt to outperform it, and sovereign individuals who fully adopt it.

He emphasized that decentralization remains Bitcoins core utility, offering users sovereign control over their capital. Rochard concluded with a view that capital markets will increasingly recognize Bitcoin as a strategic collateral asset.

He said:

Its inevitable that the capital markets will recognize bitcoin as a unique collateral diversifier in many different contexts: sovereign debt issuance, corporate convertible bonds, and asset-backed securities. Each of these will find investors with different objectives and risk tolerances. Growing the market will foster demand for the underlying bitcoin and accelerate the adoption flywheel.

The post Former Riot Platforms VP launches Bitcoin securitization venture to accelerate the adoption flywheel appeared first on CryptoSlate.

Read more: https://cryptoslate.com/former-riot-platforms-vp-launches-bitcoin-securitization-venture-to-accelerate-the-adoption-flywheel/

Text source: CryptoSlate

Disclaimer: Financial information and news are not financial advice, read the disclaimer.
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