Great question—and the most important.

The Sovana BIP may be right for you if you own property and both of the following are true:

• You believe it’s quite likely that bitcoin will appreciate at some point during the next decade. Since you can settle at any time for any reason without penalty, you’re not locked in—if bitcoin rallies early, you can settle and take your gain.
and
• You’re able to hold through downside volatility. You’re prepared for a potential early decline, understanding that volatility is a natural part of bitcoin’s monetization journey.

You absolutely can! But you’ll either need to have cash available or take on a loan, which typically comes with interest and monthly payments (and sometimes margin calls).

If bitcoin increases significantly, you might come out ahead with a loan instead of the Sovana BIP. But if not, you’ll likely be worse off with a loan. For example, if you take out a $100K loan at an 8.5% interest rate and buy bitcoin, you’ll pay $85K over 10 years in interest. So with a loan, the price of bitcoin needs to increase by 85% for you to break even. With Sovana, any increase in the price of bitcoin means you make a profit* because you’re not paying interest. Plus, with Sovana, there are no monthly payments.

If you already own bitcoin, it may still make sense to take advantage of the Sovana BIP for additional exposure. In fact, we believe the vast majority of our customers own bitcoin outright and still come to us for additional exposure.

* after you recover the origination costs

That’s right. This is a partnership, not a loan. When you settle the BIP, if the value of the bitcoin stash is the same as the initial investment amount, you owe us nothing.

Think of the BIP as you and Sovana investing together in partnership with each other. Sovana contributes the cash to buy the bitcoin, and in return, you make a commitment to cover the loss if the value of the bitcoin decreases.

There’s no catch, but there is a trade-off.

Sovana gives you an opportunity nobody else offers—the chance to invest in bitcoin with no upfront cash, no monthly payments, no debt, and no interest. Sovana brings the money to buy the bitcoin. But in return, you accept the full downside risk while getting only half of the upside. So if the value of the bitcoin drops by $20K, you bear that entire loss. But if the bitcoin’s value increases by $20K, you get only half that upside.

Yes! You can settle the BIP at any time for any reason with no penalty—you’re in control.

The terms reflect what we each bring into the partnership and what we get. Sovana fronts all the money, so you get to invest in bitcoin with no upfront cost, no monthly payment, and no loan (and interest accrual) hanging over you. This is an opportunity you’re unlikely to find elsewhere—a chance to invest in bitcoin with zero cash upfront and no debt. In exchange, you take the downside—no different than if you’d just bought bitcoin yourself!

You are required to settle the BIP:

• if you sell the property
or
• the 10-year term ends
or
• you fail to adhere to the terms of the BIP (for example, if you fail to maintain the property, pay property taxes, keep current on your mortgage)
or
• if you refinance the property and your new loan doesn’t meet our qualification criteria for refinances (see next question for details)

Yes. Sovana places no restrictions on your ability to refinance your mortgage, as long as the debt balance senior to our lien does not increase.

The minimum initial investment amount is $25,000.

The maximum depends on the value of your property and how much you owe on your mortgage. In most cases, the maximum initial investment amount will be:

maximum initial investment amount = (value of the property x 0.70) – (how much you owe)

For example, if your property is worth $500,000, and you currently owe $200,000 on your mortgage, the maximum initial investment amount would typically be $150,000:

($500,000 x 0.70) – ($200,000) = $150,000

Remember, you decide the initial investment amount between the minimum and maximum.

Excellent! Origination will take about [15] days and involves the following steps.

• Prequalification: Fill out an online form with basic info about you and your home.
• Application: If you prequalify, provide additional documentation (ID, mortgage statements, Social Security number)—with no cost or commitment.
• Term sheet: If approved, you get a term sheet with your maximum initial investment amount and estimated origination cost. We place a temporary hold on your credit card to cover 3rd-party costs (e.g., appraisal, title). Your credit card is only charged if the BIP doesn’t originate—otherwise, origination costs are paid by Sovana and deducted from the investment amount.
• Finalization: If verification (appraisal, title, etc.) is successful, both parties sign the legal documents, including a subordinate lien on your property.
• Bitcoin purchase: Sovana buys the bitcoin, which is then held securely in escrow with our custodian.

Origination costs include a 2% fee on your initial investment amount plus required 3rd-party costs (e.g., appraisal, title, insurance verification, background check). These costs are paid by Sovana and deducted from the bitcoin purchase—so you pay nothing out-of-pocket upon successful origination of the partnership.

If you can't pay what you owe at settlement, Sovana will work with you to resolve the balance. As a last resort, Sovana can enforce its lien against your property’s equity. We encourage you to plan ahead for the possibility of a lower bitcoin value at settlement.

Good question, and very important that you understand. The lien ensures you can cover the decrease if the value of the bitcoin stash has decreased at settlement time. Since there are no monthly payments or interest, this is how Sovana secures the investment. Let’s say that at settlement time, the value of the bitcoin stash is $20,000 lower than at the start of the BIP. In this case, you must pay $20,000 to Sovana. The lien is simply Sovana’s way of ensuring that you’re able to make this payment—it’s removed immediately after you settle the BIP as agreed.

The lien on your property (capped at the initial investment amount) serves as collateral if the value of the bitcoin stash has decreased at settlement time and you can't cover the decrease as agreed. Your equity is only affected if two things happen: the bitcoin value drops and you can't pay what you owe at settlement time. In all other cases, your equity remains untouched.

When the last remaining property owner dies, the partnership continues with your estate or legal representative managing it. The terms stay the same, and settlement happens as usual when the property is sold or the 10-year term ends.

By default, the bitcoin will be held through an ETF. However, if you prefer physical bitcoin held in a multi-sig custody at an established custodian, we’re happy to have that conversation.

The bitcoin is held by our custodian and not tied to Sovana’s finances. If anything happens to us, the bitcoin stays secure.

Not quite. While it might seem possible to mimic the Sovana BIP with options, it's not a practical alternative:

• Limited market. Options with 10-year expirations are almost nonexistent so you can’t match the BIP’s long-term horizon.
• Complexity and collateral risks. Selling a put typically requires you to post cash collateral which ties up funds. Plus, you might need to post additional collateral if the market moves against you. With the Sovana BIP, your collateral is your property equity, and there are no margin calls.
• Simplified structure. The Sovana BIP gives straightforward, investor-friendly exposure to bitcoin without the complications or additional capital requirements of options trading.

Overall, the BIP provides a clear, hassle-free way to invest in bitcoin that options strategies can’t match.