The demand for generating returns on bitcoin holdings is on the rise, with Mezo joining the ranks of companies offering solutions to unlock the potential of this traditionally passive asset. Mezo Prime has launched segregated vaults, known as Enclaves, which allow institutions to earn yield on bitcoin held in custody with Anchorage Digital Bank. This development reflects a changing perception of bitcoin among institutions, from a store of value to a capital-generating asset.
The emergence of bitcoin-native yield infrastructure has driven this shift, enabling BTC to be used in lending, borrowing, and other financial strategies without leaving the Bitcoin ecosystem. Enclaves cater to institutional requirements, including asset segregation, reporting, and risk controls, which have historically limited participation in crypto lending and DeFi. Backed by 250 BTC in funding from Bullish, the project enables bitcoin to be locked to earn protocol fees or used as collateral to borrow MUSD, a bitcoin-backed stablecoin, without rehypothecation.
While institutional adoption and yields are still in the early stages, projects like Mezo demonstrate a growing trend of treating bitcoin as a productive financial asset, rather than just a digital equivalent of gold.