Arch
Arch is a Bitcoin company in the Lending category, founded in 2022 by Dhruv Patel (CEO, ex-Bridgewater), Himanshu Sahay (CTO, ex-Snap).
The Idea
Rebuild trust in digital asset lending after the 2022 wipeout. Arch offers over-collateralized, Bitcoin-backed loans with no rehypothecation, qualified custody through Anchorage Digital, and full regulatory compliance, so holders can access liquidity without selling their Bitcoin.
Early Traction
Arch launched right after BlockFi, Celsius, and Voyager collapsed, when borrowers wanted a lender that would never rehypothecate their collateral. That promise was the pitch, and it raised a $2.75M seed from Castle Island Ventures and Tribe Capital in late 2022, a deliberate bet at the sector's worst moment.
Peak Stats
Raised $75M in August 2024 ($5M equity plus a $70M Galaxy-backed debt facility), led by Morgan Creek Digital and Castle Island Ventures. In January 2026, Galaxy securitized Arch's loans into Galaxy CLO 2025-1, a groundbreaking tokenized CLO, with roughly $75M financed to date and room to scale toward $200M.
Status Today
Active and growing. It has expanded into pre-IPO equity as collateral and is scaling origination volume as the lending market recovers.
Why It Matters
Arch is the post-crisis answer to whether digital asset lending can exist responsibly. It deliberately did the opposite of what killed BlockFi, Celsius, and Voyager: over-collateralization instead of leverage, qualified custody instead of gambling with client funds.