Why suddenly all companies are buying Bitcoin – and what that means for you…

More and more companies are adding Bitcoin to their balance sheets – not as a short-term speculative asset, but as a strategic reserve asset. What originally started with a few pioneers has developed into a serious trend in the corporate world. The following article analyzes this development, its background, opportunities, and implications – and explains why Bitcoin is increasingly seen as a digital alternative to cash and gold.

The Origin of the Bitcoin Treasury Strategy

The idea of holding Bitcoin on the corporate balance sheet became popular starting in 2020. The trigger was the search for a “non-dilutable” reserve asset, especially during times of expansive monetary policy and rising inflation. A US technology company took the lead and radically changed its corporate strategy: Instead of continuing to rely on stagnant revenues from its core business, Bitcoin became the central capital allocation.

This strategic shift was facilitated by regulatory advancements. The increasing clarity regarding the legal framework for cryptocurrencies made it easier for corporate executives to consider Bitcoin as a legitimate asset – not only for investments but as a fundamental part of the business model.

ADVERTISEMENT## The new balance logic: Bitcoin per share

A central concept in Bitcoin treasury companies is the metric “Bitcoin per Share” (Bitcoin per Share). Instead of focusing solely on revenue or EBITDA, these companies concentrate on the value increase from accumulated Bitcoin holdings. Through capital market transactions such as stock issuances, convertible bonds, or preferred shares, capital is specifically raised to acquire more Bitcoin – with the aim of increasing the intrinsic value of each share.

This logic attracts investors who aim for long-term wealth accumulation or want to invest early in companies that, similar to the first tech companies in the internet age, create new structures.

Relevant Article: The Bitcoin Strategy of Strategy: A New Financial Model is Emerging

ADVERTISEMENT## Financial products for every type of investor

While ETFs or direct Bitcoin holdings continue to be the first points of contact for many investors, Bitcoin treasury companies now offer a wide range of tailored financial instruments. For institutional investors, products such as convertible bonds or preferred shares with attractive yields are being developed. The big advantage: These products are not subject to the same regulatory restrictions as direct Bitcoin investments but are backed by Bitcoin reserves.

Retail investors, on the other hand, can participate in price movements through stocks or derivatives without needing their own wallet. Depending on the risk profile, a tiered product portfolio is available – from low-risk bonds to highly volatile structured products.

Leverage and Volatility as Growth Drivers

Bitcoin is known for its strong volatility. Often a criterion for exclusion for traditional investors, it is a core component of the strategy for Bitcoin treasury companies. By strategically using leverage (external financing) and derivatives, companies utilize this volatility to enhance the performance of their capital structure.

Bitcoin Price Chart (Image: Tradingview)In combination with the long-term growth trend of Bitcoin – historically around 20–30 % per year – this results in disproportionate return opportunities. However, the model requires a professional risk and governance structure to avoid misdevelopments.

The new strategic floor beneath the Bitcoin price

The increasing number of companies with Bitcoin on their balance sheets is leading to an interesting market dynamic: Bitcoin is receiving a stable demand side that operates independently of daily trading activities. This structural demand from companies reduces the likelihood of sharp price drops – as Bitcoin is no longer just traded as a speculative asset, but is held as a balance sheet reserve with a long-term horizon.

This new “bottom formation” by companies is interpreted as a significant factor for the relative price stability of Bitcoin – especially in geopolitically or fiscally turbulent times.

ADVERTISEMENT## The macroeconomic context: Dollar skepticism and inflation protection

Central banks around the world increase the money supply in times of crisis. In the USA, for example, the budget deficit has been expanded by trillions through new spending packages like the “One Big Beautiful Bill.” This development leads to the devaluation of the US dollar – and consequently to an increased interest in inflation-protected assets.

USD vs. Euro Chart (Image: Tradingview)Bitcoin offers an alternative in this context: With its absolute scarcity of 21 million units, it cannot be created arbitrarily. Unlike gold, Bitcoin is completely digital, globally transferable, and secured by a decentralized network. For many companies, it therefore becomes the ideal counterpart to fiat currency inflation.

The International Momentum: Case Study Japan

The Bitcoin treasury trend is not limited to the USA. These strategies are also gaining importance in other economies – for example, in Japan, a country with traditionally low bond yields ( “yield-starved” ). There, the company MetaPlanet decided to strategically add Bitcoin to its balance sheet.

A crucial advantage: The tax treatment through specialized investment accounts allows investors to drastically reduce their tax burden – for example, from 50% to under 25%. For companies like MetaPlanet, this results in a strategic location advantage. Such country-specific incentives could significantly accelerate the global growth of this new asset class.

Case Study: Sequans and the $384 Million Step

A current example is the French company Sequans, which recently raised 384 million US dollars to launch a Bitcoin Treasury strategy. This not only underscores the growing confidence of executives in Bitcoin as a capital reserve – but also the pace at which this sector is professionalizing.

The capital raising was carried out using various financial instruments to efficiently integrate Bitcoin into the balance sheet structure. The goal is not only to act as a speculative object but to establish Bitcoin as a stabilizing and value-enhancing component in the long term.

Outlook: A New Phase of Corporate Financing

The trend is clear: More and more companies – from small hotel businesses to multinational corporations – are considering Bitcoin as an alternative to the dollar. Especially in markets with weak currencies or low financial market depth, Bitcoin opens up new opportunities for value preservation and capital management.

At the same time, regulation is progressing: Laws such as the “Clarity Act” are creating clear frameworks for dealing with digital assets for the first time. This legal certainty will be crucial in the coming years for whether Bitcoin-Treasuries can permanently establish themselves as a new pillar of corporate finance.

Conclusion: Bitcoin as the Foundation for Digital Balance Sheet Policy

The integration of Bitcoin into corporate balance sheets marks the beginning of a new era – not only for the crypto market but also for the traditional corporate world. Bitcoin treasury strategies enable companies to hedge against inflation, allocate capital efficiently, and offer investors innovative products.

Bitcoin is not only an asset, but is increasingly understood as a digital form of equity – resilient, scarce, global. The coming years are likely to show how profound this change will be. However, one thing seems certain: the number of companies that understand Bitcoin not just as an idea, but as a strategy, will continue to rise.

Relevant Article: Has the Bitcoin supercycle already begun? – The end of the classic four-year cycles

Author

Ed Prinz serves as the chairman of the most prestigious non-profit organization in Austria that specializes in blockchain technology. DLT Austria is actively engaged in educating and promoting the value and application possibilities of Distributed Ledger Technology. This is done through educational events, meetups, workshops, and open discussions, all in voluntary collaboration with leading industry players.

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Disclaimer

This is my personal opinion and not financial advice.

For this reason, I cannot guarantee the accuracy of the information in this article. If you are unsure, you should consult a qualified advisor whom you trust. No guarantees or promises regarding profits are made in this article. All statements in this and other articles reflect my personal opinion.

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