BitGo and Lukka: The Infrastructure Behind New Hampshire’s Bitcoin-Backed Municipal Bond

Key takeaways:

• The New Hampshire bitcoin-backed bond signals how digital assets are beginning to enter traditional public finance markets

• Institutional adoption of bitcoin-backed financial products depends on trusted custody, collateral management, and valuation infrastructure

• BitGo and Lukka, Inc. provide the custody and pricing framework needed to support regulated digital asset-backed structures

The New Hampshire Business Finance Authority’s bitcoin-backed municipal bond is one of the first examples of how digital assets are being integrated into public finance markets. Bringing a structure like this to market requires more than investor demand alone. Institutional-grade custody, transparent collateral management, and pricing infrastructure are all necessary to support digital asset-backed products within traditional capital markets.

Here, that framework is being delivered through the partnership between BitGo and Lukka, providing institutions with a model for structuring, issuing, and managing products that bridge traditional finance and digital assets.

The infrastructure behind the bond

BitGo Bank & Trust, National Association, the federally chartered digital asset trust bank, holds the bitcoin collateral in insured cold storage with controls designed to support transparency and auditability. Complementing that qualified custody layer, Lukka Prime provides fair market value (FMV) pricing for the bitcoin collateral, supporting consistent valuation. Lukka Prime is purpose-built to align with global accounting standards, including GAAP and IFRS, ensuring that valuations are transparent, consistent, and audit-ready.

“Proper collateral valuation is a key element that creditors use to understand their true risk exposure. When that valuation is inaccurate, creditors are unknowingly exposed to risk. Digital assets introduce new layers of complexity to this challenge, from fragmented liquidity across global venues to the absence of an easy to identify principal market. These are exactly the problems Lukka has built its pricing infrastructure to solve. We are proud to continue to support the advancement of digital assets and blockchain technology into traditional financial market infrastructure.” said Dan Huscher, Chief Operating Officer at Lukka.

Building institutional trust in bitcoin-backed products

BitGo has long believed that secure, qualified custody is the prerequisite for institutional adoption of digital assets. The New Hampshire bond highlights how institutional-grade qualified custody can support emerging products through multi-layered security and compliance-focused controls, designed to align with institutional risk expectations.

“We’re seeing firsthand how innovation across capital markets is unlocking new ways to structure and collateralize financial products. Our partnership with Lukka demonstrates how bitcoin can be securely held and reliably priced for use in regulated financial structures. We believe this is just the beginning as custody and infrastructure become increasingly central to the modern capital markets,” said Mike Belshe, CEO and Co-founder of BitGo.

The New Hampshire bond reflects a broader transformation underway across global capital markets. Real-world assets, including bonds, funds, and credit instruments, are increasingly being structured with digital asset components and, in some cases, moving onchain entirely.

This issuance provides an early framework for how bitcoin-backed financial products are integrated into regulated markets. As these structures continue to take shape, trusted custody and valuation providers will become increasingly important to supporting greater liquidity, transparency, and capital efficiency across digital asset-backed financial markets.

Interested in building digital asset-backed financial products? Connect with the BitGo team to learn how our regulated custody and infrastructure solutions can support your next issuance, product, or tokenized financial offering.