NYDIG Raises $720M for Institutional Bitcoin Fund

NYDIG saw a “flight to quality” from institutional types last quarter, doubling its bitcoin balances year-on-year while shopping its new fund

article-image

Source: Shutterstock

share

key takeaways

  • NYDIG has appointed its global head of trading, Tejas Shah, as its new CEO
  • The bitcoin-forward financial services firm raised $1 billion in December at a $7 billion valuation

Despite bearish macro trends, investment management firm NYDIG says it has raised nearly $720 million for its Institutional Bitcoin Fund.

A total of 59 investors contributed to the raise, a SEC filing from Sept. 29 showed, although the regulator may not have reviewed the document, which could mean the raise isn’t over just yet.

In December, the bitcoin-focused financial services firm completed a $1 billion financing round led by WestCap. Other participants included Morgan Stanley, Bessemer Venture Partners and MassMutual.

NYDIG has withstood multiple SEC rejections against its proposal to list and trade spot bitcoin ETFs. Yet NYDIG, established in 2016, continues its mission to “make Bitcoin accessible to all” through products such as bitcoin accounts, rewards and loyalty programs.

Earlier this year, it launched a benefit program allowing employees of participating companies to allocate a portion of their paychecks to bitcoin.

NYDIG fundraise comes with new CEO

NYDIG’s latest fundraising efforts come amid a reshuffling of senior leadership. On Monday, the group announced the departure of CEO Robert Gutmann and President Yan Zhao. 

Both will continue to work at the firm’s parent company Stone Ridge Holdings, which they co-founded with Ross Stevens in 2012.

NYDIG appointed Tejas Shah, the firm’s global head of trading, to the position of CEO. Nate Conrad, formerly the global head of payments, was appointed to the president position.

Shah and Conrad will focus on expediting investments in NYDIG’s mining solutions franchise and boosting institutional bitcoin adoption via layer-2 scaling project Lightning Network.

All things considered, NYDIG appears healthy at a turbulent time for the digital asset industry. NYDIG’s bitcoin balances hit an all-time high in the third quarter, up nearly 100% year on year, according to a statement released Monday. Revenue is up 130% through the second quarter, it added.

“When markets crumble, character emerges. A flight to quality from the most risk-aware institutional investors has relentlessly driven bitcoin, and revenue, to NYDIG the last 12 months,” Stevens wrote in a statement.


Get the news in your inbox. Explore Blockworks newsletters:

Tags

Decoding crypto and the markets. Daily, with Byron Gilliam.

Upcoming Events

Old Billingsgate

Mon - Wed, October 13 - 15, 2025

Blockworks’ Digital Asset Summit (DAS) will feature conversations between the builders, allocators, and legislators who will shape the trajectory of the digital asset ecosystem in the US and abroad.

recent research

Research Report Templates.png

Research

Content Delivery Networks (CDNs) represent low-hanging fruit in a massive market ripe for Web3-driven disruption. The global CDN market was valued at ~$28B in 2024, and is projected to surpass $140B by 2034, (18.75% CAGR) underscoring the immense demand for efficient content delivery.

article-image

Long before BlackRock’s ETF, there was the Winklevoss Bitcoin Trust

article-image

Mainnet goes live with a 16-node federation, promising five-second block times, low fees and Bitcoin-native DeFi

article-image

Sponsored

WalletConnect Certified is not just a recognition program, it’s a movement to improve how users onboard, transact, and engage across the onchain ecosystem

article-image

In crypto investing, quantity has a quality all its own.

article-image

REX and Osprey prep to launch their Solana staking ETF