According to Cointelegraph, the trend of public companies adopting Bitcoin as a treasury asset is gaining momentum, likened to a new altcoin season by Adam Back, co-founder and CEO of Blockstream. Back, known for inventing Hashcash, suggested that speculators should consider shifting their altcoin investments into Bitcoin or Bitcoin treasuries. He highlighted that Bitcoin treasury firms are consistently purchasing Bitcoin to boost their Bitcoin per share, utilizing various funding strategies such as convertible note offerings to attract investors.
This surge in corporate Bitcoin adoption has led to a significant increase in the number of public companies holding Bitcoin. The number has doubled since June 5, with at least 240 public companies now holding Bitcoin on their balance sheets, up from 124. These companies collectively account for approximately 3.96% of the total Bitcoin supply, as reported by BitcoinTreasuries.NET. Back has previously forecasted that institutional and governmental adoption could transform Bitcoin into a $200 trillion market opportunity, as Bitcoin treasury firms anticipate a future where Bitcoin becomes the dominant global currency, replacing traditional fiat money.
However, the rise of Bitcoin treasury firms also raises concerns for shareholders. For example, the Japanese investment firm Metaplanet's Bitcoin premium reached $596,154 on May 27, indicating that stockholders are paying significantly more for Bitcoin exposure through Metaplanet shares. Despite these concerns, Back believes that Bitcoin-focused firms offer a potential avenue for recovering losses from altcoin investments. He encouraged investors to consider transitioning from altcoins to Bitcoin through treasury companies as a means to recoup their losses.
Corporate interest in Bitcoin continues to grow. On June 12, Nasdaq-listed Mercurity Fintech Holding announced plans to raise $800 million to establish a long-term Bitcoin treasury reserve. Similarly, The Blockchain Group, a Paris-based cryptocurrency company, revealed plans to raise $340 million for a corporate Bitcoin treasury, reflecting increasing institutional interest in Europe. Despite the lack of momentum in the altcoin market, some altcoins are also benefiting from institutional adoption. For instance, Interactive Strength, a Nasdaq-listed fitness equipment manufacturer, announced plans to raise $500 million to establish a Fetch.ai (FET) token treasury, as reported by Cointelegraph on June 11.
