8th July 2025 - MembersCap Launches First Tokenised Reinsurance Fund with Archax
MembersCap, a Bermuda-regulated investment manager, and Archax, the digital asset exchange, broker, and custodian, have launched the first tokenised institutional-grade reinsurance fund, MCM Fund I. MCM Fund I combines MembersCap's specialised reinsurance expertise with Archax's FCA-regulated digital platform and aims to deliver uncorrelated, high-yield returns through multi-blockchain deployment with dual fiat and digital currency subscriptions.
Earlier this month, MCM Fund I completed the successful investment of its initial portfolio. The fund executed all trades with top-tier global reinsurance companies and Lloyd’s of London syndicates, sourced through the top three global reinsurance brokers. The launch represents unique access to institutional-grade reinsurance investment exposure specifically designed for both sophisticated digital asset investors and traditional allocators.
The uncorrelated nature of reinsurance makes it a natural diversifier with attractive yield and structured liquidity, making reinsurance a potentially attractive option for investors looking to diversify away from some of the volatility of the equity and crypto markets.
Lloyd Wahed, CEO and Co-Founder of MembersCap, shared: “MembersCap partnering with a fully-regulated digital marketplace like Archax is an exciting next step for us that increases our ability to provide a new group of investors access to institutional-grade reinsurance exposure. We’ve been impressed with the caliber of institutional funds like BlackRock, Fidelity, Aberdeen and others that Archax has curated and we’re humbled to be the first emerging fund sat alongside them.
Graham Rodford, CEO and Co-Founder of Archax, added: “MembersCap were looking for a partner to work with on the tokenisation, custody and distribution for their tokenised reinsurance fund. Digital asset innovation is exactly what Archax is all about, and we’re delighted to be providing these services to them and adding further yield-bearing digital instruments to the Archax platform.”
Jeremy Williams, Head of Digital Strategy and Compliance at MembersCap, added, “Tokenisation and digital assets sit at the heart of our offering. Harnessing the energy and potential of on-chain finance, while meeting and exceeding the expectations of our regulators and our partners, is a vital part of our success. Archax’s regulatory presence in multiple jurisdictions, combined with real technical acumen, enables us to offer a full-suite service to our investors.”
MembersCap’s partnership with Archax is the first of several that the investment manager has in the pipeline this year, as it looks to expand its presence across both traditional and Web3 financial markets.
Why MembersCap
Launched in 2024, MembersCap was created to bring access to reinsurance as an asset class and address growing demand from the rapidly expanding pool of sophisticated digital asset-native investors and traditional private allocators seeking diversified and uncorrelated investment alternatives with attractive yield.
Reinsurance—‘insurance for insurance companies’—is fundamentally uncorrelated with the broader financial markets and as an asset class has consistently outperformed most traditional alternatives over the past two decades. Despite these attractive qualities, high barriers to entry have meant the sector has largely remained the preserve of pension plans, sovereign wealth funds, and other large institutional investors.
MembersCap, working together with Archax, aims to expand this access by harnessing blockchain technology to lower these barriers and provide unique access to investors seeking stable, diversified income streams to support more balanced portfolios and enhance overall returns.
1st July 2025 - Members Capital Management Completes Initial Deployment of Tokenised Reinsurance Fund
First of its kind institutional-grade fund opens access to a new and growing class of traditional and digital asset-native allocators
Bermuda – July 1, 2025 – Members Capital Management (“MembersCap”), a Bermuda-regulated investment manager, today completed the successful investment of its initial portfolio through its fund, MCM Fund I, the first tokenised institutional-grade reinsurance fund designed for both sophisticated digital asset investors and traditional allocators. All portfolio trades were executed with global reinsurance companies and top-tier Lloyd’s of London syndicates, and were sourced through the top three global reinsurance brokers.
MCM Fund I opens access to reinsurance income for a rapidly expanding capital base of new investors seeking diversified and uncorrelated investment alternatives with attractive yield and structured liquidity.
The launch represents the growing importance of funds structuring their offerings to take advantage of the continuing convergence between traditional finance and digital assets. Backed by Solana, Aptos, and Cardano and supported by institutions like Coinbase, Archax, Apex Group, and Envelop Risk, MembersCap has selected the Solana, Aptos, Cardano, and Base protocols to provide access to qualified investors wishing to invest using eligible cryptocurrencies.
MembersCap has been selected as the first fund in the real-world assets category on the Archax platform, sitting alongside tokenized offerings from other institutions like BlackRock, State Street, and Aberdeen.
The reinsurance opportunity
Being fundamentally uncorrelated with the financial markets, reinsurance has consistently outperformed most traditional alternatives over the past two decades. Despite being highly yield-generative, the sector has historically been reserved for pension plans, sovereign wealth funds, and other institutional giants.
Increasingly, both crypto-native investors and smaller traditional allocators are seeking refuge from market volatility by accessing reinsurance as a stable, diversified income stream to support a balanced portfolio and enhance overall returns.
“Every generation is presented with new technologies that unlock economic opportunity. To us, tokenisation and the blockchain represent access to better asset management for a different class of investor,” said Lloyd Wahed, Co-Founder and CEO of MembersCap. “We’re excited to be one of the first institutional funds to emerge from this space.”
“Our investors– digital asset institutions, family offices, HNWIs —want to meet their goals of resiliency and long-term sustainable growth through new and more efficient means. With this novel approach, we’re seeing these investors view reinsurance as a core part of their portfolio for the first time,” said Patrick Barrett, Co-Founder and COO at MembersCap.
“This launch proves that tokenisation can bring new capital to help address the growing insurance protection gap by lowering barriers and providing access to the private reinsurance market,” said Dr. Benjamin Fox, Co-Founder and Chief Investment Officer at MembersCap. “Our tokenised model enables a new cohort of investors to participate pari passu alongside large institutions in an uncorrelated asset class with a track record of reliable, attractive returns.”
Positioned as an alternative to private equity, venture capital, and fixed income strategies, MCM Fund I provides qualified investors with regulated and collateralised access to reinsurance via direct exposure to natural catastrophe and cyber reinsurance contracts sourced through blue-chip global partners.
For Web3 treasuries, foundations, and institutions, the Fund delivers high-yield opportunities and structured liquidity, derived from high-quality, real-world reinsurance returns, without exposure to DeFi volatility and over-concentration in altcoins.
MembersCap was founded in 2024 and is backed by a strong coalition of both institutional and blockchain-native partners. This blend of traditional underwriting expertise and on-chain architecture ensures institutional-grade standards while embracing next-generation accessibility.