Acacia Research's Innovative Bitcoin-Backed Loan Partnership
Acacia Research Partners with Unchained and Build Asset Management
Investment Anticipated to Provide Acacia with Attractive Risk-Adjusted Returns through Investment in Bitcoin Collateralized, Fully Recourse, Commercial Loans
Enhancing Shareholder Value through Strategic Initiatives
Partnership Aligns with Acacia's Unwavering Focus on Generating Value for Shareholders
Acacia Research Corporation (NASDAQ: ACTG) has announced an exciting collaboration with Unchained Capital, a prominent name in financial services for Bitcoin holders, and Build Asset Management, a dedicated investment advisor within the Bitcoin space. This partnership aims to purchase commercial whole loans that are fully collateralized by Bitcoin. Notably, these loans will originate from an affiliate of Unchained and will subsequently be acquired by a wholly owned subsidiary of Acacia. Furthermore, Build will lend its expertise by providing essential administrative services related to these loans.
CEO Insights on the Partnership
Martin (“MJ”) D. McNulty, Jr., the Chief Executive Officer, expressed his enthusiasm for partnering with Unchained and Build for this innovative loan strategy. He noted, "Investors globally are increasingly recognizing Bitcoin as a secure and valuable form of collateral. We are confident that these loans will yield attractive risk-adjusted returns due to their favorable interest rates and structurally low loan-to-value metrics. Additionally, the cutting-edge institutional custody solutions for Bitcoin add a layer of protection, enhancing the viability of these fully recourse loans." McNulty believes this collaboration introduces an opportunity for Bitcoin holders to access liquidity while preserving ownership of their Bitcoin assets.
About Acacia Research Corporation
Acacia is a publicly traded entity focused on acquiring attractive businesses across various sectors including industrial, energy, and technology. The company aims to leverage its expertise, substantial capital base, and strong industry relationships to create value. Acacia evaluates business opportunities primarily based on cash flow attractiveness, operating its businesses through a philosophy centered on people, process, and performance. Its management team boasts extensive expertise in strategic research, transactions, and operational management.
Understanding Build Asset Management
Build Asset Management is an investment advisor registered with the U.S. Securities and Exchange Commission. While registration does not imply any specific skill set or training, the firm aims to offer enhanced options for investors within a changing fixed-income market landscape. It recently launched a Bitcoin-focused private credit fund in collaboration with Unchained Inc., designed to invest in commercial loans extended to small- and medium-sized U.S. businesses.
An Introduction to Unchained Capital
Founded in 2016, Unchained Capital is a leading financial services platform for Bitcoin, managing over $12 billion in Bitcoin assets and originating $1 billion in loans without rehypothecation. Unchained pioneered a collaborative custody model, allowing Bitcoin holders to partake in lending and financial services while maintaining control of their private keys, effectively minimizing counterparty risks commonly associated with the cryptocurrency industry.
Investor Relations Contact Information
For inquiries concerning Acacia, please reach out to Gagnier Communications via email at ir@acaciares.com.
For contact with Build Asset Management, you may call +1 (833) 852-8453 or email info@getbuilding.com.
For Unchained-related media inquiries, please contact Jonathan Sexton at jonathan.sexton@unchained.com.
Frequently Asked Questions
What is the main goal of Acacia's partnership?
The partnership aims to enable Acacia to purchase Bitcoin-collateralized commercial loans, providing attractive risk-adjusted returns for investors.
Who are the main partners involved in this collaboration?
Acacia Research is partnering with Unchained Capital and Build Asset Management to facilitate this innovative financial strategy.
What advantages does Bitcoin provide as collateral?
Bitcoin serves as a secure source of collateral, which is recognized for its value and can help secure loans effectively.
How does this partnership align with Acacia's overall strategy?
This collaboration reflects Acacia's ongoing commitment to generating shareholder value through innovative investment strategies.
How can investors get more information about the companies involved?
Investors can contact Acacia, Build Asset Management, or Unchained directly through the provided email addresses for more information.
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