I recently saw that Rines, one of the key collaborators of Core Foundation, shared something quite interesting about what traditional financial institutions really want when it comes to Bitcoin.

Basically, there are two things that move the needle on the institutional side. First, the possibility of generating sustainable returns with Bitcoin, because for large funds, having assets that only appreciate is not enough. They need consistent cash flows. Second, being able to use Bitcoin as collateral for leverage operations and loans, which opens up a lot of possibilities in the financing ecosystem.

What’s interesting is that Rines mentioned that Core Foundation is deeply involved in developing protocols that generate yield and asset management products. The goal is clear: to enhance the scaling effect of Bitcoin capital funds while improving the entire BTC-Fi infrastructure. Basically, they are building the building blocks that the institutional market needs.

Another thing Rines noticed is that institutional products are already much more mature than those aimed at the average consumer. But that doesn’t mean they neglect one or the other; on the contrary, they plan to advance on both fronts simultaneously. That makes sense because institutional and retail growth are not mutually exclusive; they reinforce each other.