Monarq Asset Management today announced the launch of its “WBTC Market Neutral Yield” on Railnet, bringing institutional portfolio construction and risk management frameworks to an onchain deployment and distribution layer.

Institutional asset managers are increasingly leveraging onchain infrastructure to distribute structured investment strategies with greater transparency, programmable controls, and global accessibility.

The Gap: Limited Access to Transparent, Risk-Managed BTC Yield

Bitcoin is a core asset for many allocators, including family offices, crypto-native funds, corporate treasuries, and high-net-worth investors. Yet generating yield on BTC has historically involved meaningful tradeoffs:

• Reliance on centralized lenders and associated counterparty risk

• Structured products with limited transparency and difficult-to-compare terms

• DeFi-only strategies without clear governance, reporting, or risk limits

• Or leaving BTC idle

Institutional-style BTC yield strategies featuring transparent reporting, defined risk budgets, and multi-venue execution have largely remained inaccessible through onchain infrastructure.

The Monarq BTC Market Neutral Yield Strategy on Railnet is designed to address this gap.

Institutional Approach to Onchain Yield

Monarq Asset Management is a multi-strategy digital asset investment firm focused on risk-managed strategies across market regimes.

The team includes former executives from firms such as LedgerPrime, Tower Research, and BlockTower Capital, with deep experience in quantitative trading, derivatives, risk management, and digital market structure.

As a FalconX majority-owned asset manager, Monarq is closely connected to the institutional trading ecosystem surrounding FalconX, a leading digital asset prime broker serving hedge funds, asset managers, and proprietary trading firms.

How the Strategy Works

The Monarq BTC Yield Strategy is a structured allocation framework designed to generate BTC-denominated yield while maintaining disciplined risk controls.

The strategy may allocate across multiple yield sources depending on market conditions and portfolio risk limits:

• Collateralized Borrowing: Borrow stablecoins against deposited WBTC within conservative collateral and liquidation thresholds.

• DeFi Lending: Allocate capital across established lending venues such as Morpho, Aave, and Euler to capture attractive risk-adjusted lending yields.

• Onchain basis: delta neutral funding rate arbitrage in a delta neutral capacity, systematically deploying across a variety of assets and perpetual DEXs

• RWA Exposure: Where appropriate, allocate a portion of exposure to liquid, high-quality real-world asset yield sources to help stabilize returns.

• Yield Enhancement: Selectively deploy conservative leverage ranges (for example 1–2x where appropriate) and fee-generating strategies such as AMM liquidity provisioning within defined exposure caps.

The objective is to deliver risk-managed yield without relying on directional BTC exposure as the primary return driver.

“Our mission at Monarq is to deliver risk-managed returns through deep expertise in quantitative trading. By launching this BTC Yield Strategy on Railnet, we are bringing institutional risk frameworks and portfolio construction to investors wherever their capital resides, whether in custody or onchain.”

– Shiliang Tang, Managing Partner, Monarq Asset Management

Why Monarq Chose Railnet

Monarq selected Railnet as its initial onchain deployment and distribution layer due to its support for institutional-grade infrastructure, including:

• Configurable risk constraints and operational controls (e.g., role-based permissions, exposure caps, and emergency controls, depending on the integration)

• Multi-venue allocations under defined guardrails

• Auditable onchain activity and improved transparency versus opaque structured products

• Distribution integrations designed to make strategy access easier for end users and platforms

Railnet is developed by Kiln, a digital asset infrastructure provider supporting institutional staking and yield products globally.

Strategy Overview (Initial)

• Target Yield: ~up to 4-6% APY (variable, not guaranteed)

• Redemptions: Weekly

• Notice Period: 7 days

Note: Digital asset investments involve substantial risk, including the possible loss of principal. Past performance is not indicative of future results and target returns are not guaranteed.

Allocators can access the strategy through the Kiln Dashboard, while platforms can integrate the strategy through Kiln OmniVault.

For additional information, contact the Kiln team to request the strategy one-pager.

About Monarq Asset Management

Monarq Asset Management, formerly MNNC Group, is a multi-strategy digital asset investment firm focused on generating consistent, risk-adjusted returns through all market conditions. Managed by former executives from firms such as LedgerPrime, Tower Research, and BlockTower Capital, the team offers extensive experience in quantitative trading, risk management, and digital market structure. To learn more, visit www.monarq-am.com

About Railnet

Railnet is the operating for the next generation of asset management, built to simplify the complexity of onchain finance into a single, compliant framework. By synchronizing the clocks of fragmented yield sources from DeFi to RWAs, Railnet provides asset managers with a unified experience to aggregate investment opportunities, while maintaining auditable control over risk and regulatory requirements. Railnet serves as the verifiable trust layer for the future of capital allocation. To learn mote, visit www.railnet.org