Birch Hill, a New York startup founded by veterans of Goldman Sachs, BlackRock and crypto investing, has raised $4 million in seed funding to develop blockchain-based infrastructure for U.S. private credit. The company says it ultimately wants to place pools of apartment, agriculture and energy loans on public blockchains.
The financing was led by Multicoin Capital, with participation from ParaFi Capital, Castle Island Ventures and Nascent. It brings Birch Hill’s total funding to $6.5 million. According to Decrypt, the new capital will support the company’s eight-person team and its work across lending, investment strategies and regulated distribution.
A three-part private-credit platform
Birch Hill currently operates through three divisions. Its Vaults business is an official curator on Morpho, an onchain lending protocol. In that role, the firm evaluates credit and establishes risk parameters for lending vaults and markets.
Its Strategies unit develops onchain credit products, including a strategy called Birch Hill Absolute Value. The company’s Enterprise division has applied to the Financial Industry Regulatory Authority, or FINRA, for broker-dealer membership. If approved, that status would allow Birch Hill to place private-credit offerings with verified accredited investors.
Accredited investors are investors who meet regulatory requirements intended to establish a certain level of financial sophistication or wealth. Private credit generally refers to loans arranged outside traditional public bond markets, often involving direct relationships between borrowers and lenders.
Wall Street and crypto experience
Chief Executive Bhavin Vaid previously worked as an investment banking analyst at Goldman Sachs, later joined private-equity firm Cerberus Capital Management and co-founded crypto investment firm Halo Capital. Co-founder and Chief Operating Officer Connor Flanagan spent more than four years at BlackRock, including work on the Aladdin risk platform, before moving to Digital Currency Group and analytics firm Flipside.
Birch Hill has also recruited three people from Yearn, including Brad Schlagel, who led development of Yearn v3, as well as Ian Plosker and Alex Cornwell. Traver Normandi joined from risk-management firm Gauntlet to lead business development.
The company says its longer-term goal is to securitize pools of U.S. multifamily, agriculture and energy loans for onchain ownership while operating within the U.S. regulatory framework. Birch Hill said it met with the Securities and Exchange Commission’s Crypto Task Force in August as part of that effort.
The company argues that banks, insurers and other fiduciaries are more likely to allocate capital to onchain credit when it is packaged in familiar financial structures. Multicoin general partner and venture co-head Shayon Sengupta described private credit as a fragmented, relationship-driven market with potential for new onchain infrastructure.
Moneyiar market picture
Moneyiar market data at 2026-10-25 22:38-22:39 +03:30 showed mixed performance among the listed assets:
- Cap (CAP): $0.1084662705, up 35.1% over 24 hours and 55.28% over seven days.
- Aethir (ATH): $0.0056524905, down 2.89% over 24 hours and up 6.14% over seven days.
- Alchemy Pay (ACH): $0.0050519273, down 2.05% over 24 hours and 2.83% over seven days.
- Loaded Lions (LION): $0.0011817703, down 2.39% over 24 hours and 3.06% over seven days.
The fundraising comes as U.S. policymakers and traditional financial firms show growing interest in onchain finance. The source material also notes that Morpho has supported Coinbase fixed-rate USDC loans secured by Bitcoin, highlighting the protocol’s connection to established market participants.
