{"id":2972,"date":"2025-06-15T20:08:09","date_gmt":"2025-06-15T20:08:09","guid":{"rendered":"https:\/\/bitunikey.com\/news\/corporations-continue-to-spawn-bitcoin-treasuries-whats-good-about-them\/"},"modified":"2025-06-15T20:08:10","modified_gmt":"2025-06-15T20:08:10","slug":"corporations-continue-to-spawn-bitcoin-treasuries-whats-good-about-them","status":"publish","type":"post","link":"https:\/\/bitunikey.com\/news\/corporations-continue-to-spawn-bitcoin-treasuries-whats-good-about-them\/","title":{"rendered":"Corporations continue to spawn Bitcoin treasuries\u2014 What\u2019s good about them?"},"content":{"rendered":"

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For several years, Strategy (formerly MicroStrategy) was the sole public company whose modus operandi was buying millions of dollars worth of Bitcoin with borrowed capital. These days, several other companies are trying to follow in Strategy\u2019s footsteps. <\/p>\n

As more companies go all-in on stacking Bitcoin, critics are raising concerns about the growing centralization of crypto treasuries. Currently, just 216 entities\u2014101 of which are public companies\u2014hold nearly 31% of the circulating BTC supply, with corporate treasuries alone accounting for approximately 765,300 bitcoins, or 3.7% of total supply (excluding lost coins). <\/p>\n

This trend shows no sign of slowing, with existing firms continuing to accumulate and new players entering the space. This prompts debate over the benefits and risks of corporate Bitcoin ownership.<\/p>\n

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The trend is in full swing<\/h2>\n

A wave of high-profile crypto treasury launches is underway, led by figures like Jack Mallers with 21 Capital, David Bailey with Nakamoto, and most recently Anthony Pompliano with ProCapBTC, which is reportedly raising $750 million in equity and convertible debt to accumulate Bitcoin. <\/p>\n

Each new treasury announcement is met with bullish fanfare on Crypto Twitter, where influencers routinely frame the news as a catalyst for BTC price appreciation. Yet with such announcements now occurring almost daily, their actual impact is increasingly unclear. <\/p>\n

The familiar refrain of \u201cthis is not priced in\u201d has become a clich\u00e9, while comment sections often reflect confusion over why Bitcoin\u2019s price continues to fall despite seemingly bullish developments.<\/p>\n

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FACT: \u00a53.9 TRILLION SOFTBANK IS INVESTING BILLIONS IN A COMPANY THAT WANTS TO BUY MORE #BITCOIN<\/a> THAN MICROSTRATEGY <\/p>\n

THIS IS NOT PRICED IN \ud83d\udd25 pic.twitter.com\/5vxwP4UUOK<\/a><\/p>\n

\u2014 The Bitcoin Historian (@pete_rizzo_) May 7, 2025<\/a><\/p><\/blockquote>\n<\/div>\n<\/figure>\n

Do Bitcoin treasuries pump BTC\u2019s price?<\/h2>\n

According to the Gemini research, the growing adoption among sovereign and regulated financial institutions\u00a0led to decreased volatility<\/a>\u00a0in all time frames after 2018. <\/p>\n

The launch of Bitcoin ETFs in 2024 made the trend even stronger. Despite the stabilization of the Bitcoin price, it doesn\u2019t stop gaining value. The main difference is that now the price rises steadily without the frequent high-amplitude fluctuations it had in the past.<\/p>\n

According to<\/a> Unchained, Bitcoin\u2019s price is stuck between $100,000 and $110,000, and it will take a long time for it to exceed the $130,000 mark. People don\u2019t pay attention to many things while reading bombastic announcements. One is a lack of retail interest, as the public tends to pay attention to Bitcoin when it hits an all-time high or at similar periods. <\/p>\n

Another reason for slower price movement is that Bitcoin treasuries not only buy BTC but dump it, too, as they need cash to repurchase shares. Additionally, the announcements usually display the full amount of the deal (i.e., \u201cPompliano to raise $750 million to invest in Bitcoin treasury\u201d), whereas, in reality, these amounts are raised slowly; it may take several months to complete the deals. <\/p>\n

So it comes that the purchases made by Bitcoin treasuries are not what they may seem to be.<\/p>\n

Finally, the relentless accumulation of Bitcoin is pulling coins away from circulation, making a notable part of the supply dormant and somewhat purposeless for years. Bitcoin treasuries need this crypto to attract more investors and clients. <\/p>\n

However, it drives Bitcoin away from its initial role as an alternative electronic cash, and some in the crypto community raise critical voices directed at Bitcoin treasuries.<\/p>\n

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This mass accumulation of Bitcoin by corporates & ETFs is getting very close to Satoshi’s original vision of us never having to actually use the Bitcoin network.<\/p>\n

\u2014 Nic (@nicrypto) June 12, 2025<\/a><\/p><\/blockquote>\n<\/div>\n<\/figure>\n

The \u2018not your keys, not your coins\u2019 attitude is alive and well<\/h2>\n

Many Bitcoin enthusiasts prefer actually to own their bitcoins and don\u2019t outsource all the hassle to corporations. Maximalists remind us that any entity does not control Bitcoin, and it is free to purchase, so there is no need for a company to buy and maintain Bitcoin on your behalf.\u00a0<\/p>\n

Some criticize Bitcoin treasuries for not representing the spirit of Bitcoin, while\u00a0others emphasize the troubled past of Bitcoin treasury frontmen. <\/p>\n

For instance, MicroStrategy had a questionable episode during the dot-com bubble era, whereas the company restated its profits, resulting in losses for the investors. The SEC accused the company of fraud. <\/p>\n

At the time, Saylor spoke about\u00a0his plans<\/a>\u00a0to donate $100 million to the Internet university that will provide \u201cfree education for everyone on earth, forever.\u201d <\/p>\n

This kind of evangelism may sound familiar to those who follow Saylor\u2019s\u00a0modern-day speeches<\/a>, while he is more grounded when dealing with Bitcoin.<\/p>\n

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What Magoo really means, is that bitcoin treasury companies need a professional Orange Washer<\/p>\n

An influencer already trusted by the plebs, who can toe the line between LARP’ing as a maxi, and shilling his stock as being superior to real BTC<\/p>\n

Aka, the used car salesman type https:\/\/t.co\/nb9VuLJ66w<\/a><\/p>\n

\u2014 Pledditor (@Pledditor) June 11, 2025<\/a><\/p><\/blockquote>\n<\/div>\n<\/figure>\n

For some, Pompliano is an ambiguous candidate for helming the new mighty Bitcoin treasury. While Pompliano is a well-known and recognizable Bitcoin advocate, some remember his involvement in promoting fraudster crypto exchange FTX and its associated platform, BlockFi. <\/p>\n

Collapses of these platforms were painful not only for its users but also impacted the entire crypto sector, crashing the market and infusing cryptocurrency distrust among the community outsiders and, more importantly, regulators.<\/p>\n

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So true. For example, I lost most of my savings after listening to your podcast and putting it into BlockFi. Completely changed my life!<\/p>\n

\u2014 GSx (@Wade24T) November 28, 2022<\/a><\/p><\/blockquote>\n<\/div>\n<\/figure>\n

Some Bitcoin owners watch the performance of the treasury company\u2019s stocks or ETFs and sell their bitcoins to buy these assets, hoping for quicker gains. <\/p>\n

Adam Back, a Blockstream CEO and the only person whose work is referenced in the Bitcoin whitepaper urged his followers not to sell their bitcoins to buy ETFs or similar assets as they won\u2019t be able to buy them back.<\/p>\n

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some are selling their btc to ETFs and pubCos. dudes: HODL. you won’t be able to buy them back before long. but also other users are buying, this is the way.<\/p>\n

\u2014 Adam Back (@adam3us) June 12, 2025<\/a><\/p><\/blockquote>\n<\/div>\n<\/figure>\n

Then, what\u2019s good in Bitcoin treasuries?<\/h2>\n

The same person urging us not to sell bitcoins, Adam Back, explained that Bitcoin treasuries \u201care bringing forward the Bitcoin adoption curve.\u201d<\/p>\n

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$MSTR<\/a> & $BTC<\/a> Treasuries by @adam3us<\/a>:
“They are basically an arbitrage between the fiat current [system] and the hyper-bitcoinezed future. And if you can buy #Bitcoin<\/a> today and pay for it in 5 years or convert into equity you are bringing forward the Bitcoin adoption curve..” pic.twitter.com\/UAF4bmCZUC<\/a><\/p>\n

\u2014 Marco \u20bfattistoni (@Battistoshi93) June 2, 2025<\/a><\/p><\/blockquote>\n<\/div>\n<\/figure>\n

Back pointed out that most people don\u2019t have money and opportunities to acquire Bitcoin. In contrast, public companies have these opportunities to raise capital by selling their shares or vice versa. <\/p>\n

These companies don\u2019t need free money to invest in Bitcoin as they can buy Bitcoin in advance and pay for it years later.\u00a0\u201cThey are basically an arbitrage between the fiat [monetary system] and the hyper-bitcoinized future.\u201d<\/p>\n

A more mainstream explanation is that shares and ETFs are easier to deal with for institutional investors than Bitcoin. <\/p>\n

So they don\u2019t have to worry about the Bitcoin legal status and lack of the company around it. Instead, they can deal with a public company that offers some guarantees and is traded just like other public companies while exposing clients to the Bitcoin price appreciation. <\/p>\n

Generally speaking, these treasuries are helping TradFi traders and investors to benefit from Bitcoin\u2019s long-term price appreciation without having to deal with Bitcoin.\u00a0<\/p>\n

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