Bitcoin custody provider Onramp released a research report in July 2026 advocating for direct spot Bitcoin ownership over holding indirect, paper-based claims such as fund shares or exchange balances. The report, titled “Back to Basics,” comes as Bitcoin trades at approximately half its all-time high from late 2025, while global equities and gold approach record levels.
Onramp’s view on Bitcoin fundamentals
The report opens by comparing Bitcoin’s price performance to traditional asset classes. While stocks and gold have continued upward, Bitcoin’s recent decline is interpreted by Onramp as an opportunity for accumulation, rather than a warning sign.
Onramp emphasizes Bitcoin’s fixed supply, highlighting its cap of 21 million coins as a core element that protects its monetary integrity. The firm contends that traditional fiat currencies are designed to lose purchasing power over time, with governments and financial institutions benefiting from newly issued currency at the expense of ordinary holders.
The research covers key aspects of Bitcoin’s structure, including its predetermined issuance schedule and the halving event, which periodically reduces the rate at which new coins enter circulation. According to Onramp, the decentralized nature of the network gives protocol control to users running full nodes, rather than to miners or centralized entities.
Onramp also defends proof of work, the consensus mechanism securing the Bitcoin network, describing it as a legitimate and efficient use of energy. The report points to mining operations utilizing otherwise wasted resources such as flared gas or surplus renewable power. For investors, Onramp positions Bitcoin as a modern successor to gold—scarce and durable, but more easily transferable and independently auditable by any user.
Volatility is described as a routine characteristic of an asset in the process of monetization. The report notes that Bitcoin has experienced several price declines of 50% or more, with each major drawdown historically followed by new all-time highs.
Onramp advises investors to use a disciplined, mechanical buying strategy such as dollar cost averaging, rather than attempting to time the market. This approach, the firm states, has gained popularity among retail and institutional participants, especially during recent market corrections.
Spot versus ‘paper’ Bitcoin
A central argument in the report focuses on the distinction between direct Bitcoin ownership and ‘paper’ representations. Onramp points out that many investors hold assets that track Bitcoin’s price—such as exchange-traded funds (ETFs), exchange balances, or structured products—rather than owning Bitcoin itself.
The report concedes that these vehicles often offer accurate price exposure and professional management. Nevertheless, Onramp warns that each additional layer adds potential risks, including reliance on custodians or administrators who may fail independently of Bitcoin’s protocol.
By contrast, holding Bitcoin directly—meaning in a private wallet where the investor controls the cryptographic keys—removes counterparty risk and enhances individual sovereignty. Onramp suggests options such as self-custody or multi-institutional custody solutions, which split private keys among independent parties.
The company, headquartered in the United States, provides custody services for Bitcoin, allowing clients to hold digital assets securely or leverage their multi-party custody model.
Mini dictionary: Multi-institutional custody refers to a security model where digital assets are held using multiple independent custodians. Keys are split so that no single entity can move or access the funds alone, reducing risk of loss or theft.
Onramp contends that “as more layers are added between the owner and their Bitcoin, so too are additional points of failure,” emphasizing that only direct spot ownership can fully eliminate counterparty risk.
| Ownership Type | Direct control | Counterparty risk | Transfer limitations |
|---|---|---|---|
| Spot Bitcoin (self custody) | Yes | No | None |
| Exchange-held Bitcoin | No | Yes | Possible freezes, withdrawal limits |
| Fund share/ETF | No | Yes | Cannot redeem for actual Bitcoin |
Market conditions and accumulation strategy
Onramp highlights that the current price drawdown is less severe and shorter in duration compared to historical downturns seen in the Bitcoin market, with the present cycle approximately seven months past the latest peak and around 50% below that high.
The report references previous cycles, noting that every significant decline has eventually led to new highs, and describes the ongoing price weakness as an attractive entry point for accumulation. Onramp reiterates that its guidance is not to forecast specific prices but to encourage scheduled purchases and holding assets in secure, user-controlled custody.
For Onramp, expanding adoption and a fixed supply underpin Bitcoin’s resilience, with lower pricing giving buyers a potential advantage in the market.
Onramp has raised $12.5 million to support the development of its custody solutions, aiming to integrate cash, Bitcoin, and gold into unified client accounts for diversified asset management.
