NYDIG Acquires Arctos Capital to Better Serve Bitcoin Miners

NYDIG will be able to support more bitcoin miners and leverage Arctos’ credit solutions for banks and insurance companies, which make up much of NYDIG’s clientele.

article-image

Blockworks exclusive art by Axel Rangel

share

key takeaways

  • The combined company will deploy capital to support North American bitcoin miners
  • Terms of the deal were not disclosed

NYDIG has acquired Arctos Capital, a commercial lender focused on serving the bitcoin mining industry, for an undisclosed amount.

This is the second acquisition by NYDIG this year. In January it acquired analytics company Digital Assets Data and said it plans to make several more acquisitions this year. 

The acquisition allows NYDIG to combine its “long-term, low-cost capital with Arctos’s market expertise in order to deliver an expanded suite of solutions for our clients,” Tejas Shah, NYDIG’s head of market solutions, said in a press release Thursday. The combined company will deploying capital to support bitcoin miners across the U.S. and Canada over the coming months. That could include equipment procurement and financing, custody, execution, derivatives and hedging and other customized solutions.

“Our lending products will also provide investable credit solutions for banks and life insurance companies, which will help to bring in more low-cost capital for the industry,” said Arctos Capital managing partner Trevor Smyth.

Earlier this month, NYDIG raised $100 million from major insurance firms Starr Insurance, Liberty Mutual Insurance, New York Life and MassMutual. It also hired Mike Sapnar, former CEO of Transatlantic Reinsurance, as its global head of insurance solutions. In March New York Life Chairman and CEO Ted Mathas joined NYDIG’s Board of Directors.

NYDIG is the digital asset subsidiary of Stone Ridge Asset Management, offers custody, treasury and trading solutions to its customer base of family offices, financial advisors, hedge funds and banks. Most of its revenue comes from custody and management fees.

Tags

Upcoming Events

Hilton Metropole | 225 Edgware Rd, London

MON - WED, MARCH 18 - 20, 2024

Crypto’s premier institutional conference returns to London in March 2024. The DAS: London Experience:  Attend expert-led panel discussions and fireside chats  Hear the latest developments regarding the crypto and digital asset regulatory environment directly from policymakers and experts   Grow your network […]

Salt Lake City, UT

WED - FRI, OCTOBER 9 - 11, 2024

Pack your bags, anon — we’re heading west! Join us in the beautiful Salt Lake City for the third installment of Permissionless. Come for the alpha, stay for the fresh air. Permissionless III promises unforgettable panels, killer networking opportunities, and mountains […]

recent research

logo.jpeg

Research

Akash is a general-purpose compute platform with GPUs, storage, LLM training or inference, and validator hosting through its two-sided marketplace.

article-image

The company has sold shares from various funds, as well as roughly $9 million in GBTC

article-image

Public mining companies have committed about $750 million to buy machines in the last couple months, BlocksBridge Consulting data shows

article-image

Sponsored

Whether real estate, diamonds or energy, crypto has an abundance of opportunities ahead of it through RWA tokenization

article-image

Block’s self-custody bitcoin wallet uses three keys to secure bitcoin

article-image

Montenegro plans to extradite Do Kwon to the US over South Korea, the Wall Street Journal reports

article-image

In the rare cases when fraud is punished — like the Sam Bankman-Fried trial — we should feel no guilt for doing so to the full extent