New York startup Birch Hill has secured $4 million in a seed funding round. The investment was led by Multicoin Capital, with additional backing from ParaFi Capital, Castle Island Ventures, and Nascent. This latest injection of capital brings the company's total funding to $6.5 million.
The firm was established by Bhavin Vaid, formerly of Goldman Sachs and Cerberus Capital Management, and Connor Flanagan, who previously worked at BlackRock. The startup currently employs a team of eight people, including recent hires from Yearn and risk management firm Gauntlet.
Birch Hill operates through three divisions: Vaults, which acts as a curator on the Morpho lending protocol; Strategies, which develops onchain credit products; and Enterprise. The Enterprise unit has filed an application with FINRA for broker-dealer membership to facilitate private credit offerings.
The company aims to securitize pools of U.S. multifamily, agriculture, and energy loans for onchain use. As part of its regulatory strategy, the firm held discussions with the SEC’s Crypto Task Force in August to align its operations with U.S. financial frameworks.
