Meanwhile, backed by Sam Altman, launches Bitcoin private fund and Bitcoin insurance policy.

Meanwhile Group, an investment group backed by Sam Altman, has announced the launch of a Bitcoin Private Credit Fund called Meanwhile BTC Private Credit Fund LP through its investment management company Meanwhile Advisors. The fund will raise capital and convert it into Bitcoin, which will then be lent to institutional clients with good credit ratings, aiming for a conservative return of at least 5%. In addition, the group's insurance company has obtained a license from the Bermuda Monetary Authority to offer policies with Bitcoin-based claims.

Bitcoin Private Credit Fund Seeks Minimum 5% Returns

According to The Block's report, the Meanwhile BTC Private Credit Fund is a closed-end private fund expected to raise $100 million by the first quarter of 2024, with a minimum investment of $250,000. After the fundraising, all funds will be converted to Bitcoin. Subsequently, Meanwhile Advisors will lend these Bitcoins to institutional investors with good credit ratings in pursuit of at least a 5% return.

The fund has a three-year investment period, a four-year harvest period, and a total term of seven years. However, capital will begin to be returned to investors after the harvest period, so capital may likely be returned before the seven-year mark.

In addition to a 2% management fee, the Meanwhile BTC Private Credit Fund will also charge a 20% carried interest fee, all fees will be collected in Bitcoin to avoid any price risk.

Note: The carried interest fee refers to the portion of the investment profit that the venture capital manager receives, generally calculated at 20% of capital appreciation after investors have fully withdrawn their investments. That is, if $100 is earned, the fund manager can take 20% of the profit as a performance bonus.

Meanwhile Group Investors and Insurance Companies

In June, the Meanwhile Group received a $20 million seed funding, with investors including Sam Altman, Lachy Groom (former head of Stripe), and Gradient Ventures under Google.

Meanwhile's subsidiary, Meanwhile Insurance, has been licensed by the Bermuda Monetary Authority and is a life insurance company that currently offers premiums and claims in Bitcoin, specifically Bitcoin.

Premiums and claims are priced entirely in Bitcoin, with premiums varying based on age, gender, and health conditions, ranging between 5 to 20 Bitcoins, payable in installments over ten years. Bitcoins can also be borrowed against the policy. However, it is currently only available for purchase by U.S. citizens.