Zeta Network Group announced on Wednesday that it successfully raised approximately $230.8 million through a private share sale, with investors contributing in Bitcoin (BTC) or SolvBTC—a wrapped Bitcoin-backed token issued by Solv Protocol.
As part of the agreement, investors will obtain newly issued Class A ordinary shares along with warrants that permit them to purchase additional shares later at a price of $2.55 each. The combined price for each share and warrant pair was $1.70.
According to Zeta, this arrangement will bolster its balance sheet with Bitcoin-based assets as part of a larger treasury strategy. “By incorporating SolvBTC into our treasury, we’re enhancing financial resilience with a product that combines Bitcoin’s scarcity with sustainable yield,” stated Patrick Ngan, Zeta Network’s chief investment officer.
Zeta Network, a digital infrastructure and fintech company focused on developing an institutional Bitcoin platform, anticipates finalizing the deal on Thursday, subject to closing requirements.
Solv Protocol operates as an onchain Bitcoin asset management platform that issues SolvBTC, a 1:1 wrapped Bitcoin-backed token specifically designed for institutional usage in yield and liquidity strategies.
Ryan Chow, CEO of Solv Protocol, remarked that “listed entities are redefining what it means to hold Bitcoin productively.”
Related: Solv delivers RWA-backed Bitcoin yield to Avalanche blockchain
Emergence of Bitcoin Yield Strategies
While Bitcoin continues to be the primary asset for digital asset treasuries (DATs)—a strategy popularized by Michael Saylor in 2020—there is ongoing debate about whether proof-of-stake networks like Ethereum (ETH) or Solana (SOL), which provide yield for validators, could yield a more appealing long-term return profile.
In the interim, companies are exploring ways to optimize Bitcoin utilization.
On Sept. 25, the world’s largest asset manager, BlackRock, submitted a proposal to register a Delaware trust company for a Bitcoin Premium Income ETF. Bloomberg ETF analyst Eric Balchunas noted that the proposed fund aims to generate yield by writing covered call options on Bitcoin futures and acquiring the option premiums.
Coinbase launched a Bitcoin Yield Fund in May, offering institutional investors outside the U.S. the chance to earn yield on their BTC holdings. The fund seeks to provide an annual net return of 4% to 8% for its investors.
During the Token2049 event this year, Chow expressed that Bitcoin could be staked to secure networks. He anticipates that thousands of Bitcoin will soon flow into proof-of-stake ecosystems like Solana.
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