A $10M funding round positions Function to transform Bitcoin into a yield-bearing asset for institutions, addressing DeFi’s largest untapped opportunity as corporate BTC adoption grows.
Function has secured $10 million in seed funding led by Galaxy Digital, with Antalpha and Mantle participating, to develop institutional-grade yield products for Bitcoin. The infrastructure firm’s flagship FBTC product – a fully reserved Bitcoin representation – already holds $1.5 billion in TVL, offering corporations treasury management solutions while maintaining 1:1 asset backing.
Galaxy Digital joins as both investor and core contributor, providing liquidity, governance frameworks, and strategic guidance to scale FBTC’s institutional adoption. “By 2026, treating Bitcoin as passive treasury won’t suffice – the new standard will be actively earning yield,” said Function CEO Thomas Chen, emphasizing the shift toward productive Bitcoin utilization.
The funding comes as institutional interest grows beyond Bitcoin’s store-of-value narrative, with corporations seeking yield opportunities comparable to traditional cash management. Function’s solution aims to bridge this gap through programmable, compliant infrastructure that maintains custodial control while unlocking DeFi yield potential.
CryptoFeedHub Note: This article is a rewritten summary based on external reporting. Original source: CoinDesk.