UTXO Management has launched a dual-class digital credit income fund designed to provide investors with both fixed yield and leveraged return exposure through a single structured vehicle.
The fund, UTXO Preferred Income Strategies LP, offers a Senior Income Class targeting fixed monthly distributions and a Total Return Class focused on residual income and upside from leveraged positioning.
“We designed our first structured credit product, UTXO Preferred Income Strategies LP, to give allocators access to these dividend-paying securities, with the capital structure enhancements, institutional servicing, and operational transparency they require,”
Said UTXO Management Chief Investment Officer, Tyler Evans.
The Senior Income Class prioritises distributions sourced from preferred dividend streams and aims to deliver yields above short-term US Treasury bills, supported by a junior equity cushion and no management or performance fees.
The Total Return Class absorbs first losses but captures upside through leverage, relative value strategies, and participation in new issuance across digital credit instruments such as Strategy Variable Rate Perpetual Stretch Preferred Security (STRC).
The launch marks an expansion into structured credit for UTXO Management, a subsidiary of Nakamoto, extending its investment platform beyond venture and hedge fund strategies tied to Bitcoin.
The fund will be offered via private placement to accredited investors, with risks including regulatory uncertainty, liquidity constraints, and leverage exposure, while no capital has yet been deployed and target returns remain indicative rather than guaranteed.
At the time of reporting, Bitcoin price was $78,620.46.