Anchorage Digital and Mezo have announced a strategic partnership that aims to broaden institutional access to Bitcoin-backed loans and yield opportunities. This collaboration marks a significant integration between a regulated digital asset custodian and a Bitcoin-native finance protocol.
Mezo, a platform developed by Thesis, is designed to provide a "bank-free Bitcoin finance" experience. Through this partnership, Mezo will offer institutional clients low-cost borrowing via its MUSD stablecoin and new Bitcoin yield opportunities through veBTC. Anchorage Digital will provide the custody and infrastructure layer, enabling asset managers, digital asset treasury (DAT) firms, and publicly traded companies to participate in BitcoinFi applications in a secure and compliant manner.
At launch, borrowing through Mezo's MUSD stablecoin is available directly within Porto, Anchorage Digital's institutional self-custody wallet. The yield component, powered by Mezo's veBTC mechanism, is expected to go live soon.
Institutions can now borrow against their Bitcoin holdings at a fixed rate of 1% using Mezo's MUSD stablecoin. This borrowing activity is fully supported through Porto, allowing companies to access liquidity without relinquishing ownership of their BTC. This feature aims to improve capital efficiency for asset holders who have found it difficult to use Bitcoin in treasury or corporate finance strategies.
The second phase of the partnership will focus on veBTC, a tokenized position (veNFT) issued when users lock BTC on Mezo. veBTC holders will earn rewards generated through a transparent, on-chain network fee-sharing model. Lockup periods range from 6 to 30 days, which is shorter than many other ve-token systems. Longer lockup times will provide higher rewards and additional governance rights, including influence over protocol fees and economic parameters. Anchorage Digital clients can access these features through Porto and the broader Anchorage Digital platform when the product goes live.
Matt Luongo, CEO of Thesis and Co-Founder of Mezo, stated that the partnership brings Bitcoin closer to realizing the long-discussed vision of Bitcoin-native financial services. He noted that despite the interest and growth of Bitcoin, holders still struggle to access and leverage their wealth. Luongo believes Mezo is realizing Hal Finney's vision for a Bitcoin banking experience that issues its own digital currency backed by Bitcoin, similar to how banks operated before nationalization.
Nathan McCauley, Co-Founder and CEO of Anchorage Digital, added that the Bitcoin market remains largely untapped in institutional portfolios, with most holdings remaining dormant and not generating returns. He believes that the partnership with Mezo will provide institutional clients with access to Bitcoin-backed credit and yield opportunities through a secure and compliant platform.
Mezo is designed to offer familiar traditional financial services, such as borrowing, lending, and saving, through DeFi-native products powered by its Bitcoin-backed stablecoin, MUSD. The platform aims to provide a Bitcoin banking solution tailored to the needs of Bitcoin holders.
The partnership between Anchorage Digital and Mezo represents a significant step towards bridging the gap between traditional finance and the Bitcoin ecosystem. By providing institutions with a secure and compliant way to access Bitcoin-backed loans and yield opportunities, this collaboration has the potential to unlock new levels of liquidity and capital efficiency for the Bitcoin market.
