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David Bailey, the CEO of BTC Inc., is looking to take MicroStrategy’s Bitcoin strategy to Asia.
Bailey recently joined the board of HK Asia Holdings — a Cayman Islands-incorporated firm increasingly focused on Bitcoin as part of its treasury — as an executive director.
Strategy (formerly known as MicroStrategy) first began buying Bitcoin in August 2020, and has now become the world’s largest corporate holder of Bitcoin. In total, the company has 478,740 Bitcoin on its balance sheets, holding an average cost per Bitcoin of $65,033. Its most recent acquisition spree saw it add 7,633 Bitcoin to its treasury last week, after a brief pause in new purchases.
"MicroStrategy's aggressive bitcoin accumulation at these price levels rewrites the playbook for corporate treasury,” Rushi Manche, co-founder of Movement Labs, told TheStreet Crypto. “We're witnessing the birth of digital-first balance sheets that will fundamentally transform how global institutions deploy capital."
"The value of Strategy stock is far more aligned with the price of Bitcoin than the actual revenues of the company itself,” Kevin Rusher, founder of RWA lending platform RAAC.io, told TheStreet Crypto.
“The reality is that people see Strategy as a Bitcoin proxy and that is the role it plays in portfolios,” Rusher added. “Investors don't really care about how the company's software business is faring – indeed we may see Strategy selling off this part of the business in the future to focus solely on Bitcoin."
Since Strategy has doubled down on Bitcoin, other firms in Asia and the U.S. have attempted to replicate the company’s approach.
Last year, the CEO of U.S. health tech firm Semler Scientific, which maintains Bitcoin holdings of almost $200 million on its balance sheets, asked: “Why haven’t more public companies adopted a Bitcoin treasury strategy?”
“In the near future, I predict it will be considered irresponsible for public companies not to own bitcoin on their balance sheets.,” CEO Eric Semler opined last year.
In Asia, Metaplanet is described as Japan’s “first and only publicly listed Bitcoin Treasury Company.” Last month, CEO Simon Gerovich said the company had a goal of accumulating 10,000 Bitcoin this year and accelerating “Bitcoin adoption in Japan.”
On social media, Bailey recently suggested that the first company in the Middle East to adopt MicroStrategy’s aggressive Bitcoin strategy would “mint.”
He also warned that if no other company pursued a Bitcoin treasury company in the Middle East, he and his business team would pursue a venture there themselves through the acquisition of a public entity.