Hey, retail investors, breaking news! SHARPLINK GAMING has recently invested heavily, buying 18,680 Ethereum, instantly becoming a major Ethereum holder! And the 'Bitcoin guru' Michael Saylor has again stated: 'The bear market hasn't arrived yet, Bitcoin is going to hit $1 million!' Why are these companies going crazy buying cryptocurrencies? Is it speculation or is there a big strategy? Today, let's talk about 'crypto treasury companies' and see how they play and how it affects our pockets!
What is a crypto treasury company? Retail investors, think of them as the 'vault managers' of the digital world. Traditional companies store cash and gold, while they store Bitcoin and Ethereum. The most famous ones are MicroStrategy and SHARPLINK GAMING, which are not small retail investors trading coins, but rather hold strategic assets for the long term.
How do they operate? They don't use pocket money to buy coins. MicroStrategy's boss Saylor has been sweeping up Bitcoin since 2020, holding over 200,000 coins. SHARPLINK GAMING's recent acquisition of 18,680 Ethereum also shook the market. Where does the money come from? By issuing new stocks in the stock market and convertible bonds in the bond market to borrow money, then buy coins and stash them in the company's treasury, using one investment to generate another!
Why do they do this? When coin prices rise, assets surge, and stock prices also soar; cryptocurrencies are anti-inflationary and can enhance presence in the crypto space. However, retail investors should keep their eyes open; their buying can push up coin prices and attract follow-ups, but selling can also crash the market, posing significant risks.
This model is a new way of asset allocation; in the past, companies borrowed money to expand factories or buy gold, now they use cryptocurrencies as reserves to tell stories. Saylor says Bitcoin is going for a million, MicroStrategy has become a barometer, and SHARPLINK is also fueling Ethereum. In the future, more institutions will enter the market, and digital assets may become standard.
Finally, retail investors, these 'whales' in crypto treasury companies are making big waves! Their actions could be market signals. Do you think they are dominators or are they just following the retail investor extraction routine? Quickly comment and share to discuss how to ride this wave! Follow us so you don't miss out on the opportunity to turn things around! #ETH巨鲸增持 #内容挖矿