The Blockchain Group to raise $340M for Bitcoin treasury

3 hours ago

Paris-based cryptocurrency steadfast The Blockchain Group plans to rise implicit $340 cardinal worthy of superior for its Bitcoin treasury, signaling continued organization adoption of crypto successful Europe.

The Blockchain Group, which claims to beryllium Europe’s archetypal Bitcoin (BTC) treasury company, plans to rise 300 cardinal euros, oregon astir $342 million, to money much BTC purchases, according to a June 9 property release.

The $340 cardinal round’s operation is inspired by the US signifier of “At the Market” (ATM) offerings. Under this structure, shares are sold astatine marketplace conditions initiated by the company’s counterparty, taxable to a pre-agreed volume.

The rise volition beryllium carried retired successful tranches, with pricing based connected the “higher of the erstwhile day’s closing terms oregon the volume-weighted mean price,” capped astatine 21% of that day’s trading volume, the announcement added.

The announcement comes a week aft the European cryptocurrency steadfast acquired $68 million worthy of Bitcoin, pushing its full holdings to 1,471 Bitcoin, oregon implicit $154 million, Cointelegraph reported connected June 3.

Other organization Bitcoin holders are besides launching fundraising efforts to stack much BTC.

On June 6, Michael Saylor’s Strategy announced its plans to rise astir $1 cardinal done a banal offering to money its aboriginal Bitcoin purchases, quadrupling the firm’s antecedently announced $250 cardinal raise.

Strategy is the world’s largest firm Bitcoin holder, with implicit $61 cardinal worthy of Bitcoin connected its books, representing 2.76% of the full BTC supply, Bitbo information shows.

Bitcoin momentum driven by “strategic treasury” moves

Bitcoin has entered a play of terms consolidation aft breaching the $112,000 all-time high connected May 22.

Despite the short-term drawback, organization adoption and strategical treasury moves proceed to “anchor the bullish semipermanent narrative,” Nexo dispatch exertion Stella Zlatareva told Cointelegraph, adding:

“Strategic buys, treasury allocations and infrastructure concern overgarment a representation of semipermanent assurance — careless of short-term terms action.”

Bitcoin’s beardown rebound from the $103,000 enactment signals resilience, with “no signs of wide deleveraging oregon forced selling,” Zlatareva added.

Despite affirmative sentiment astir treasury-based accumulation, US-listed spot Bitcoin exchange-traded funds person struggled to support inflows.

The ETFs saw implicit $47 cardinal worthy of outflows connected June 6, a 2nd consecutive time of selling aft $278 cardinal worthy of nett outflows connected June 5, according to Farside Investors.