Asset management firm Blockhouse Digital, which has an office in Frisco, has completed a $2 million seed funding round including investments from strategic partners such as its institutional OTC partner BlockFills along with significant contributions from various angel and VC investors.
Founded in 2023, Blockhouse specializes in collateralized lending and yield-generating strategies in the crypto markets.
Blockhouse Digital said the funding will fuel the launch of its specialized financial products and services, which are designed to serve institutional investors, borrowers, and lenders.
“There is a lack of available credit to crypto infrastructure providers and traders,” said Young Cho, CEO and Co-CIO of Blockhouse Digital. “At the same time, borrowing demand is growing, especially among Bitcoin miners as the Bitcoin halving approaches in Q2 2024, and miners prepare to increase CAPEX [Capital Expenditure] spending and take advantage of cheap ASIC prices.”
Cho has history of managing funds, underwriting loans, trading distressed debt, and operating startup companies. His background includes stints at Salomon Brothers Quantitative Research, Citigroup Special Situations Investment Group, UBS Private Finance, and in the crypto industry he’s held positions as CIO of Abra, CFO of Hedera, and CFO of AltLending.
The newly secured funds will be used to launch Blockhouse Digital’s technology infrastructure, expand its product offerings, and strengthen its market position as a leader in crypto asset management. The firm said that it is committed to leveraging its expertise to provide innovative solutions that generate sustainable returns for its clients while navigating the complexities of the digital asset landscape.
“OTC and principal trading firms are seeking credit facilities for capital to fill orders for their clients and provide market-making services to improve market liquidity,” said Randy Song, co-founder & chief business development officer of Blockhouse Digital, who is the former head of Global Institutional Sales for Abra. “Due to this imbalance of supply and demand in the crypto credit markets, we believe this is an opportune time to launch a fund focused on lending in the crypto space.”
Nick Hammer, CEO of BlockFills said the investment betters both companies.
“The strategic partnership between BlockFills and Blockhouse Digital truly utilizes the experience, expertise, and core competencies of both companies to enhance the product and service offerings for our collective institutional clients,” Hammer said.
The companies’ “joint efforts will allow us to add a substantial amount of liquidity and innovative credit products to better serve clients within our ecosystem as we see an unprecedented demand for credit,” he said. Hammer noted that Blockhouse will also leverage BlockFills’ “technological capabilities, liquidity, and connectivity for OTC trading to create a best-in-class trading experience for the fund and their client network”.
The company said it hosted a launch event for partners, investors, and VIPs in Bel Air in Los Angeles last month.
Get on the list.
Dallas Innovates, every day.
Sign up to keep your eye on what’s new and next in Dallas-Fort Worth, every day.
R E A D N E X T
-
Digital Seat said the platform aims to provide much-needed support and resources to students grappling with mental health challenges, while also offering a central hub for school administrators to directly communicate with their student body. The platform can be easily accessed with a scan of a student's ID, lanyard, or wristband.
-
The City of Dallas will recognize Digital Inclusion Week from October 2-6 with activities across the city. Digital Inclusion Week is an annual initiative hosted by the National Digital Inclusion Alliance to raise awareness of digital equity and access throughout the county. Hundreds of organizations, advocates, and elected officials participate to help spotlight programs to improve home internet access, provide devices, offer digital skills training, and more. Dallas joins the alliance's national awareness campaign with activities hosted by the Dallas Public Library, Dallas Innovation Alliance, Office of Arts and Culture, and community partners including one-on-one tech help sessions, digital skills…
-
Coppell-based UWorld's new Digital SAT preparation course will prepare students for the new digital format of the SAT exam—which is being offered this year for international students and starting in 2024 for U.S. students. See what's different about the new SAT test—and how UWorld aims to prepare students for it.
-
The Coppell-based startup said it will use the proceeds to advance and scale its Digital Medical Home, which includes diagnostic-enabled Virtual Primary Care and Virtual Behavioral Health Solutions tailored to fit the healthcare needs of any population. Recuro integrates advanced science, data, at-home diagnostics, and targeted genomics for cancer screening and pharmacogenomics "to better inform integrated care," the company says.
-
The $3.3 billion is coming to Texas under the federal Broadband Equity, Access, and Deployment Program. The deadline for Texas to submit its initial proposal for spending the funds is December 27—and the last day for public comment is today (Monday, December 4).
