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Laser Digital has launched what it calls the world’s first natively tokenised Bitcoin yield fund, offering institutional investors on-chain fund shares alongside traditional units as demand grows for income-generating crypto strategies.
The Laser Digital Bitcoin Diversified Yield Fund (BDYF), domiciled in the Cayman Islands and regulated through Dubai’s Virtual Assets Regulatory Authority, combines long-only Bitcoin exposure with market-neutral yield strategies targeting more than 5% excess returns over Bitcoin’s performance annually.
The fund is backed by Nomura Holdings, one of Asia’s largest investment banks, and marks a push by traditional finance institutions into tokenized crypto products with institutional-grade custody and compliance frameworks.
Laser Digital describes BDYF as the world’s first natively tokenised Bitcoin yield fund domiciled in the Cayman Islands, with tokenisation implemented directly at the main fund level rather than through feeder vehicles or special purpose entities.
Unlike traditional tokenised funds, where blockchain exposure often sits alongside legacy structures, the Tokenised Bitcoin Yield Fund issues an on-chain share class that exists in parallel with conventional fund units.
This approach allows eligible investors to hold fund shares directly on-chain while benefiting from the same governance and economics as traditional investors.
Tokenisation for the fund is handled exclusively by KAIO, while Komainu, the institutional digital asset custodian backed by Nomura, CoinShares, and Ledger, serves as the primary custodian.
According to Laser Digital, this structure enables in-kind Bitcoin subscriptions, atomic settlement, and streamlined on-chain fund administration, features increasingly demanded by sophisticated allocators.
The firm says the design reflects a deliberate move toward operational efficiency and transparency as tokenised fund infrastructure matures.
At its core, the Tokenised Bitcoin Yield Fund maintains long-only exposure to Bitcoin while seeking to generate incremental income through a range of market-neutral strategies.
These include arbitrage, institutional lending, and options-based approaches designed to monetise volatility and carry without taking additional directional risk.
Laser Digital emphasised that the strategy prioritises capital preservation over aggressive yield generation. Risk controls are structured to ensure that income strategies do not compromise custody standards or the integrity of underlying Bitcoin holdings.
The fund targets long-term Bitcoin holders such as corporate treasury managers, asset managers, family offices, and sovereign allocators.
Laser Digital said it aims to deliver more than 5% excess net returns over Bitcoin performance across rolling 12-month periods, subject to prevailing market conditions.
While Bitcoin is widely regarded as a store of value, it does not naturally produce income. The Tokenised Bitcoin Yield Fund is designed to address that limitation by turning passive exposure into a more productive allocation without sacrificing upside participation.
Laser Digital executives say the launch reflects growing institutional appetite for yield in crypto markets, particularly following heightened volatility and macroeconomic uncertainty.
“Yield-bearing, market-neutral funds built on calculated DeFi strategies are the natural evolution of crypto asset management,” — Jez Mohideen, Co-founder and CEO, Laser Digital.
Mohideen said institutional investors are increasingly seeking ways to generate income from digital assets while maintaining robust risk frameworks consistent with traditional finance standards.
Sebastien Guglietta, Head of Laser Digital Asset Management, highlighted Bitcoin’s limitations as an income-producing asset.
“Bitcoin serves as a strong store of value, but it does not naturally generate yield,” — Sebastien Guglietta, Head of Asset Management, Laser Digital.
“Our strategy seeks to address that gap by offering a sustainable income stream for long-term Bitcoin holders.”
Both executives stressed that the Tokenised Bitcoin Yield Fund was built with institutional mandates in mind, particularly around custody, transparency, and regulatory alignment.
The fund is managed by Laser Digital Middle East FZE, which operates as a regulated virtual asset service provider under Dubai’s Virtual Assets Regulatory Authority (VARA) framework.
The regulatory footing positions the firm to cater to institutional investors that require clear compliance oversight.
BDYF joins Laser Digital’s expanding lineup of institutional strategies, including its Carry Fund and Multi-Strategy Fund, as the firm builds a diversified digital asset platform under the Nomura umbrella.
Nomura has signaled its intention to deepen its digital asset footprint, particularly in Japan, where institutional crypto activity has accelerated.
In recent months, Laser Digital Holdings has sought regulatory approval to offer trading and investment services to institutional clients in the Japanese market.
