Bitcoin Structured Products in Canada
Canada's first institutional Bitcoin structured credit product is now available. Here's what institutional allocators need to know.
Request Product 001 Term Sheet →BTC Inc. Product 001 — Canada's First Bitcoin Credit Note
Structure: Senior secured note
Collateral: Bitcoin held by institutional custodian
Coupon: 8% fixed annual
Payment: Interest prepaid at origination
Term: 1 year
Minimum: $100,000 CAD
Eligible investors: Accredited investors (exempt market)
How It Works
1
BTC Inc. issues senior secured notes to accredited investors
2
Proceeds are secured by Bitcoin collateral (held by Balance Trust)
3
Investors receive interest payment at origination (day one)
4
At maturity, principal is returned
5
If Bitcoin value falls below coverage thresholds, margin protocols activate
The Four Collateral Coverage Tiers
| Tier | Coverage Ratio | Status |
|---|---|---|
| Tier 1 | 1.50x | Full comfort zone |
| Tier 2 | 1.30x | Monitoring |
| Tier 3 | 1.20x | Alert |
| Tier 4 | 1.10x | Margin call threshold |
At current Bitcoin valuations, Product 001 represents significant overcollateralization.
Series 1: Pure Reserve-Backed
Series 1 is pure reserve-backed — no loan deployment. The Bitcoin collateral sits in institutional custody, providing a clean, conservative first-series structure.
Why 8% Fixed on Bitcoin Collateral?
For fixed-income allocators: In a compressed yield environment, 8% fixed with hard asset collateral is compelling.
The collateral premium: Bitcoin’s 24/7 liquidity, global price discovery, and absolute scarcity justify a yield premium over traditional secured lending.
First-mover advantage: Series 1 investors are ground-floor creditors in Canada’s first Bitcoin credit market.
Who Should Invest
– Family offices seeking alternative fixed income
– HNW investors with Bitcoin exposure looking for yield on collateral
– Institutional allocators with alternative credit mandates
– Bitcoin believers who want 8% on their conviction
FINTRAC Registered MSB | Non-Custodial | Bitcoin-Only | 20,000+ Canadians Served | 4.8★ Google Reviews