Onramp

Bitcoin as the Corporate Hurdle Rate In conventional finance companies are evaluated against their unique cost of capital. This metric comprises both cost of debt and cost of equity, with investors treating each component as a distinct hurdle rate. While individual companies maintain specific capital costs, their equity performance is predominantly benchmarked against the S&P 500. Companies that consistently underperform this index typically experience capital reallocation as fund managers shift their investments to better-performing alternatives. Under a Bitcoin standard, this dynamic would evolve: companies outperforming Bitcoin would attract increased investment, while those falling short would face reduced funding. Bitcoin has outperformed most publicly listed corporations, as evidenced by its performance relative to SPY, as well as Bitcoin proxies, like Coinbase, and WGMI (an ETF comprising publicly listed Bitcoin miners). This outperformance can be attributed to two primary factors: these alternatives maintain substantial cash positions, and lack of commitment to maximize their Bitcoin holdings. The underperformance stems from either management's reluctance to evaluate every investment decision against Bitcoin holdings or the absence of sustainable competitive advantages. MicroStrategy presents a notable exception, having outperformed Bitcoin over the 2020-2024 period through aggressive accumulation of Bitcoin holdings; this was achieved by a combination of initial treasury purchases and positive operating cash flows. What transpired was unique in that Microstrategy’s equity increased in volatility, a deep options market emerged, and opened the door for additional types of debt issuances (e.g., convertibles) at low rates. However, we anticipate that such financial engineering advantages will diminish as markets become more efficient at pricing Bitcoin. Additionally, it is worth noting a MicroStrategy investment carries additional risk layers beyond direct Bitcoin exposure and strong financial engineering execution (e.g., technology, execution, management). Early Riders we believe two types of companies that have the potential to outperform Bitcoin. The first archetype are companies that can significantly grow their earnings, cash flow, and Bitcoin holdings over time, while limiting their liabilities’ growth. The second archetype of companies that can outperform Bitcoin are those that can utilize financial engineering to take advantage of information arbitrage and the mispricing of Bitcoin in capital markets. At Early Riders we aim to address the former. The latter can be attractive, though we believe over time capital markets will become more efficiently priced, and it will be increasingly difficult to use financial engineering to outperform Bitcoin. https://lnkd.in/gbbfRX9V

Fantastic Bitcoin Observer newsletter from Ralph Gebran, M.Fin. & Michel Jabbour, MBA from the Onramp MENA team. Key Takeaways: The world’s most powerful financial players are making their move—faster than most investors realize. - Over one thousand institutional investors have now allocated to bitcoin as indicated by?13F filings. - Sovereign wealth funds are accumulating Bitcoin—some publicly, others in secret. -U.S. states are drafting laws to hold Bitcoin as a treasury reserve. - The U.S. federal government is closer than ever to adopting Bitcoin. - The largest asset managers on the planet are integrating Bitcoin into client portfolios. - Corporations are stacking Bitcoin on their balance sheets as a hedge against monetary uncertainty. Confirmed Holdings & Strategic Use Cases: ?????El Salvador?– The first country to adopt Bitcoin as legal tender, holding?6,089 BTC?in reserves. ?????Bhutan?– Secretly mining Bitcoin through its?sovereign wealth fund (DHI), generating an estimated?55–75 BTC per week?to diversify its economy. ?????Russia &??????Iran?– Both nations are actively leveraging Bitcoin for?sanctions evasion and trade, with central banks purchasing?domestically mined Bitcoin?rather than acquiring through open markets. ?????Ukraine?– Received?over $100M in Bitcoin donations?during wartime, setting a precedent for?governmental use of crypto assets. ?????United States of America?- Establishment of a Strategic Bitcoin Reserve (see more details below). You can read the rest of the newsletter and sign up here for future reports delivered to your inbox: https://lnkd.in/gQbUAgYV

Bitcoin is a strange game where the only winning move is to play... In the report linked below, Onramp explores bitcoin's emergent role in the monetary landscape, its geopolitical impact, & resultant sovereign game theory dynamics.

Fantastic Bitcoin Observer newsletter from Ralph Gebran, M.Fin. & Michel Jabbour, MBA from the Onramp MENA team. Key Takeaways: The world’s most powerful financial players are making their move—faster than most investors realize. - Over one thousand institutional investors have now allocated to bitcoin as indicated by?13F filings. - Sovereign wealth funds are accumulating Bitcoin—some publicly, others in secret. -U.S. states are drafting laws to hold Bitcoin as a treasury reserve. - The U.S. federal government is closer than ever to adopting Bitcoin. - The largest asset managers on the planet are integrating Bitcoin into client portfolios. - Corporations are stacking Bitcoin on their balance sheets as a hedge against monetary uncertainty. Confirmed Holdings & Strategic Use Cases: ?????El Salvador?– The first country to adopt Bitcoin as legal tender, holding?6,089 BTC?in reserves. ?????Bhutan?– Secretly mining Bitcoin through its?sovereign wealth fund (DHI), generating an estimated?55–75 BTC per week?to diversify its economy. ?????Russia &??????Iran?– Both nations are actively leveraging Bitcoin for?sanctions evasion and trade, with central banks purchasing?domestically mined Bitcoin?rather than acquiring through open markets. ?????Ukraine?– Received?over $100M in Bitcoin donations?during wartime, setting a precedent for?governmental use of crypto assets. ?????United States of America?- Establishment of a Strategic Bitcoin Reserve (see more details below). You can read the rest of the newsletter and sign up here for future reports delivered to your inbox: https://lnkd.in/gQbUAgYV

Introducing Onramp’s New Bitcoin-Backed Lending Service in Partnership with Arch. Onramp has partnered with Arch to offer USD loans backed by bitcoin collateral. This new service represents an important step in our mission to provide comprehensive bitcoin financial solutions—rooted in best-in-class security and unwavering commitment to our clients. Why BTC-Backed Loans? Bitcoin is increasingly recognized as a compelling store of value. Now, Onramp clients can tap into the value of their bitcoin holdings without needing to liquidate positions or experience taxable events. By using your BTC as collateral, you can access liquidity—whether for large purchases, business operations, or other spending needs—while avoiding taxable events and preserving potential upside in bitcoin’s market value. Key Benefits & Features White-Glove Service & Support - Arch takes pride in delivering dedicated customer service. From the initial inquiry to ongoing support, their team is accessible and ready to assist. Transparent & Secure Collateral Management - Segregated Addresses: Your collateral is held in a separate on-chain wallet address—never pooled or rehypothecated. - Verified Destination Addresses: Onramp independently confirms wallet addresses to ensure a high level of security at every step. Addresses are also shared with clients so they can verify themselves. - Security & Compliance: Collateral is stored with a leading qualified custodian, Anchorage, in a bankruptcy remote US-based trust. Arch is a fully compliant US-based entity, able to lend in most US states and international jurisdictions. Flexible Loan Terms & Low Friction - Borrow up to 50% Loan-to-Value (LTV), with margin calls at 60% with rights to partial liquidation if LTV hits 70%. - Fixed terms up to two years, with an option to roll over (without repaying principal). - No early repayment penalties—pay it off whenever it suits you. Line of Credit Approach - Think of this like a revolving credit line. If bitcoin’s value goes up, you may request partial releases of your collateral. If you need more funds, you can quickly upsize your loan (without adding more collateral) —subject to the same transparency and security checks. Built for the Future of Bitcoin Custody - Although this initial version of the product does not fully integrate Onramp’s multi-institution custody architecture, both Onramp and Arch are aligned in our vision of bitcoin custody evolving to a multi-institution standard. - Our partnership is designed to adapt and grow alongside these developments, so you can expect enhanced protections and custody features down the road. Schedule time to learn more here: https://onrampbitcoin.com/

"???????? ???? ?????????????????? ???????? ???????? ?????? ??????????????’?? ???????? ????????????—???????? ???????? ?????? ???????? ???????? ????????." In the latest episode of?The Last Trade, we break down why the?U.S. officially recognizing Bitcoin as a strategic reserve asset?is a turning point for global adoption. We cover: The Bitcoin Strategic Reserve?– What the executive order means for U.S. and nation-state adoption globally. The Digital Gold Rush Begins?– Why this mirrors the California Gold Rush of the 1800s. Insights from the Bitcoin for America Summit?– Key takeaways from the discussions in D.C., hosted by the Bitcoin Policy Institute. Check the comments for the link to the full episode.?? #Bitcoin #TheLastTrade #BitcoinStrategicReserve #DigitalGoldRush #GameTheory #BitcoinPodcast

I'm excited to announce Timothy J. Kotzman is joining as an advisor to Early Riders! Orange ties are the new hurdle rate for business professionals looking to incorporate bitcoin as the hurdle rate for their firms. Tim is an excellent fit given his expertise with corporates incorporating accretive bitcoin strategies and optimal capital allocation. He also has a deep background in business building via the Oil & Gas industry. His background of in-depth interviews with industry leaders regarding bitcoin treasury strategies perfectly aligns with our mission to maximize bitcoin denominated returns. As we continue to build the industry-leading investment management platform built on a bitcoin standard, we couldn't be more thrilled to have Tim on team Early Riders. There is much more to come in the coming weeks from Onramp & Early Riders. If you want to find out how you can get involved with what we are building, reach out. We would love to chat! https://lnkd.in/gTrrRD4y

I'm excited to announce Timothy J. Kotzman is joining as an advisor to Early Riders! Orange ties are the new hurdle rate for business professionals looking to incorporate bitcoin as the hurdle rate for their firms. Tim is an excellent fit given his expertise with corporates incorporating accretive bitcoin strategies and optimal capital allocation. He also has a deep background in business building via the Oil & Gas industry. His background of in-depth interviews with industry leaders regarding bitcoin treasury strategies perfectly aligns with our mission to maximize bitcoin denominated returns. As we continue to build the industry-leading investment management platform built on a bitcoin standard, we couldn't be more thrilled to have Tim on team Early Riders. There is much more to come in the coming weeks from Onramp & Early Riders. If you want to find out how you can get involved with what we are building, reach out. We would love to chat! https://lnkd.in/gTrrRD4y

At?Onramp, we provide clients with peace of mind through a private bitcoin banking-like experience. The only thing scarcer than bitcoin is the time spent worrying about how to secure it. ? Clients can buy bitcoin at industry-leading rates and settle directly into a Multi-Institutional Custody that they alone control. They can sleep easy at night, knowing their generational wealth is secured. If something happens to them, their loved ones can access it through our private client team. ? Are you wondering why our clients say we provide 10 times the security with one-tenth the time and friction compared to self-custody or collaborative custody? ? - Your bitcoin is held in a vault: offline, segregated, and titled to your name.? - Three separate industry-leading institutions hold an institutionally sharded key that secures billions in capital.? - One institution can never move or lose your funds.? - Transactions require signatures from two of three keyholders after completing account controls, and ultimately video verifications from the client. - There are no plastic devices, no physical attacks, no wildfire or natural disaster risks, and no worrying about traveling with or without the device. ? You stay in control anywhere in the world. Only you can instruct them to sign. ? Best of all, you'll gain access to best-in-class financial services, such as insurance, inheritance, buying bitcoin, lending, IRAs, and much more. ? No more sleepless nights worrying about inheritance, abductions, hacks, and other threats that may arise as this asset class grows. ? Reach out today to learn more through a consultation or start the onboarding process here: https://lnkd.in/ge5eJkcp

We had a blast chatting with new Early Riders advisor Timothy J. Kotzman and Acropolis CEO, @Chase Palmieri on the latest episode of Final Settlement. We went deep on Early Riders and why bitcoin denominated investment management is the only way forward. We also covered: ? Last week’s SBR EO ? Acropolis & corporate adoption ? The Bitcoin for America summit by @btcpolicyorg ? Stablecoins & bitcoin banks ? Bitcoin as the hurdle rate & more! Full Episode: https://lnkd.in/gXyDUQbE