Digital asset management firm XBTO is the lead investor in a $3 million revenue-share note issuance by local airline BermudAir.

The transaction was executed entirely on-chain through Swiss-regulated platform Obligate.

“It marks the most recent collaboration between the parties following a successful $1 million bond issuance in May 2024,” XBTO said.

A spokesman said the deal represented institutional deployment of capital in blockchain-native private credit markets, demonstrating growing institutional adoption of regulated blockchain capital markets infrastructure.

Philippe Bekhazi, XBTO Group chief executive, said this transaction demonstrated that blockchain-powered debt markets can meet institutional requirements.

“We are seeing real-world businesses access capital more efficiently through regulated on-chain infrastructure and we are positioned to support that evolution,” Mr Bekhazi said.

The instrument provides investors with both fixed yield and participation in BermudAir’s revenue upside, representing a revenue-share bond that directly ties investor returns to the airline’s financial performance.

“This alignment creates a compelling value proposition for both yield-focused investors and those seeking growth exposure within a compliant, blockchain-native framework,” XBTO said.

Structured as a regulated eNote under Switzerland’s DLT Act and denominated in USDC, the note operates natively on blockchain infrastructure while ensuring full legal recognition and enforceability.

Since its founding in May 2023, BermudAir has rapidly scaled operations and recently added its third and fourth aircraft to support increased flight frequencies, naming its most recent aircraft XBTO in honour of its collaborator.

“XBTO’s approach provides flexible capital that scales with our expansion,” said Adam Scott, BermudAir founder and CEO. “This financing model aligns well with our growth strategy while maintaining the regulatory compliance standards we require."

Tobias Wohlfarth, chief business officer and deputy CEO at Obligate said their collaboration with XBTO highlighted the institutional appetite for regulated blockchain infrastructure.

“This transaction demonstrates how innovative solutions can be enabled through our eNote framework to provide investors access to private markets on-chain,” Mr Wohlfarth said.

He added that the deal also addresses financing challenges for growth-stage companies, which often find traditional debt markets are designed for larger transactions.