SwissBorg and Block Green: A match made in the Swiss mountain tops! 

SwissBorg's groundbreaking partnership with Block Green enables exclusive opportunities previously only available to institutional investors. This collaboration brings unmatched Bitcoin yields to the SwissBorg app users, empowering them to directly invest in a top-tier hash rate product, usually only accessible to larger entities.

Block Green is a Swiss-based Bitcoin liquidity protocol, that creates a capital market for Bitcoin. It offers innovative solutions within the Bitcoin ecosystem and provides opportunities for BTC holders to deploy their assets through a secure and transparent custodial solution. The protocol utilises Bitcoin Script and BitGo custodial wallets, ensuring the safety of users' funds. 

One of Block Green's key offerings is its SynHash product, which serves as an on-chain liquidity solution providing direct exposure to hash rate without the need for capital expenditure or operational expertise. This feature allows institutional liquidity providers to enter into mining rewards streaming agreements with energy-efficient and sustainable Bitcoin mining firms that meet top-tier standards.

What is Block Green? 

• Block Green is a Swiss-based Bitcoin liquidity protocol building a capital market for Bitcoin.
• Block Green allows data centre operators to sell exposure to their future revenues at a discount to offload risk and access immediate liquidity. This results in a more cost-effective and sustainable financing option while allowing Bitcoin holders to yield an attractive Bitcoin-native return.
• The Block Green protocol is built with Bitcoin Script and BitGo custodial wallets.
• Regulated MSB under SOFIT in Switzerland.
• Backed by top-tier investors incl. Founders Fund, Coinbase Ventures, FJ Labs & more.

Block Green’s Platform 

• The protocol allows BTC holders to deploy assets via a fully secured and transparent custodian solution.
• The SynHash product is an on-chain liquidity solution providing direct hash rate exposure without the requirement for CAPEX or operational expertise.
• The platform provides the infrastructure for institutional liquidity providers to enter into mining rewards streaming agreements with tier-1 energy-efficient and sustainably operating Bitcoin mining firms.

The Streaming Agreement 

• Miners on Block Green can allocate a share of their existing proprietary hash rate provided that the underlying machines are unencumbered.
• The miner selects the hash rate capacity in PH/s to deploy on the protocol and the duration of the agreement ranging from 1-3 months.
• The Block Green protocol, through its proprietary technology, computes the Present Value of the miner’s hash rate in Bitcoin.
• The cost of capital for the miner is the implied discount rate when computing the Present Value.

The Yield 

• The platform estimates the future revenue, denominated in Bitcoin, of the hash rate allocated to the protocol.
• The total revenue of the hash rate throughout the agreement is then discounted back to its Present Value to account for the time value and the difficulty change risk.
•  Over the duration of the agreement, the LPs receive the full production of the hash rate, the difference between the liquidity provided at day 0 and at maturity is the yield.

Security 

• Block Green’s protocol is built by the use of Bitcoin Script, a programming language specifically designed for Bitcoin transactions. The protocol ensures a robust and secure foundation for its operations by leveraging Bitcoin Script.
• The integration of BitGo custodial wallets further enhances Block Green's security measures. BitGo is a reputable and trusted custodial service provider known for its advanced security protocols and comprehensive protection of digital assets.
• Block Green's infrastructure eliminates the need for wrapped BTC or bridges. This means that the protocol operates directly on the Bitcoin blockchain without relying on additional layers or intermediaries, minimizing potential security vulnerabilities associated with such external components.

The Risks 

• Hash rate difficulty, that the difficulty of the network increases faster than expected.
• Non-delivery, mitigated by on-chain collateral (BTC) and a claim of the holding companies assets.

SwissBorg x Block Green 

The partnership between SwissBorg and Block Green is the first of its kind, as it brings an exclusive offering to the SwissBorg app user community that was previously only accessible to institutional investors. This collaboration grants SwissBorg app user community the unique opportunity to tap into unmatched Bitcoin yield, never before available, by investing directly in top-tier hash rate.