Loka Launches Bitcoin Mining Pool for Institutional Investors With Support From Hashlabs

Investors gain access to Bitcoin at below market prices through forward hashrate contracts directly from miners.

Miners can access liquidity instantly and protect themselves against market volatility.

Loka Mining has launched a protocol with a decentralized bitcoin {{BTC}} mining pool that allows miners to sell future rewards to institutional investors at a discount and access instant cash for operational use.

Developed in collaboration with sustainable mining company Hashlabs, the product is expected to appeal to companies whose revenues were affected by the recent halving and offer a way to hedge against market volatility.

Loka will launch a permissionless protocol that gives investors access to bitcoin at below-market prices through forward hashrate contracts directly from miners, the company said in a press release on Tuesday. The contracts will be overcollateralized and tokenized for instant liquidity in secondary markets, Loka said.

“We have seen tremendous interest from large investors looking for better access to Bitcoin, and with the hashrate and access to miners that Hashlabs provides, we are able to provide this without counterparty risk,” said Andy Fajar Handika, founder of Loka, in a press release.

“This protocol provides miners with non-custodial, trust-minimized access to Bitcoin, rewarding them for their work by providing a necessary service to the network,” Handika said.

Loka’s investors and backers include BTC Startup Lab, Dfinity Foundation, Outlier Ventures, and Kilonova Ventures.