For a very long time, the concept that publicly traded companies would buy Bitcoin Makeover for their reserves was laughed at. The most well-known cryptocurrency was thought to be too risky and fringe for any significant company to use. That taboo has virtually been broken thanks to the acquisition of Bitcoin during the past two years by a number of important institutional investors.
Bitcoin has been selected as the primary reserve asset by MicroStrategy, a well-known business analytics software. Through 2021 and 2022, the company, which creates mobile apps and cloud-based services, aggressively continued its Bitcoin buying binge, acquiring millions of dollars’ worth of the digital currency even when the market fell in 2022. 129,699 BTC, or just over $2.8 billion, were held in reserve as of July 2022; nevertheless, the 2022 crypto crisis significantly decreased its value.
Digital Galaxy Holdings
This business was found in 2018. The founder behind this company was Michael Novogratz. While creating this, he collaborated with the Block. among other bitcoin companies, BlockFi. Naturally, Novogratz is a fierce advocate for Bitcoin. In April 2020, he claimed that the coronavirus outbreak was stimulating interest in cryptocurrencies and that “money doesn’t grow on trees,” referring to Bitcoin as having a “moment.”
It is a manufacturer of electric vehicles, joined the group of businesses that hold bitcoin in December 2020. According to an SEC filing, Tesla invested “an aggregate $1.50 billion” in the cryptocurrency. Tesla, later revoked their decision of allowing bitcoin payments. There were another decision taken by them. after this incident bitcoin’s price is going low and low. Otherwise, Elon Musk and Tesla played a huge role in bitcoin’s success in 2021.
The company previously conducted business as a patent holding organization, or “patent troll”.it claimed that there would be the huge operation of bitcoin mining. In fact, another claim was that it would happen with minimal energy consumption. Marathon claims that it is “fairly well insulated and well-positioned” due to low operating costs and fixed power prices, which enable it to mine Bitcoin for about $6,200 per coin. This is true despite rising electricity costs and a decline in the value of digital currency. In June 2022, Marathon made this claim.
Block, along with Tesla, ignited the flame for institutional Bitcoin investment with its $50 million investment in the cryptocurrency in October 2020. The company that makes payments with bitcoin has released the financial report of 2020. The report showed that there had been an addition which is worth of 170 million USD. Perhaps it wasn’t shocking, given that CEO Jack Dorsey is a passionate supporter of Bitcoin.
Hut 8 Mining
According to the business’s SEC filing, it is “dedicated to generating shareholder wealth through expanding the number and value of our bitcoin holdings.” The company added that it uses yield account agreements with top digital asset prime brokerages to leverage its reserve of self-mined and stored Bitcoin to produce fiat income.
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Coinbase Global, Inc.
The crypto exchange Coinbase went public via a straight offering on the Nasdaq in April 2021, making it arguably the most well-known crypto company on this list. The move was heralded as a milestone for the cryptocurrency sector, but the dropping stock price of Coinbase hasn’t supported that claim. After debuting at $381, COIN was trading for less than $75 by July 2022.
The final company on the list is the German venture capital company Bitcoin Group SE, with relatively modest assets totaling 3,947 BTC, or just over $86 million at the current exchange rate. Investments in the company include Bitcoin.de, a cryptocurrency exchange, and Futurum Bank, which combined to establish “Germany’s first crypto bank” in October 2020.
The first opening of the floodgates came with the $425 million in Bitcoin purchases made by cloud software vendor MicroStrategy in August and September 2020. Others, like the maker of electric vehicles Tesla and the payment processor Block, did the same. Unfortunately, the 2022 cryptocurrency crash struck at a time when institutional use of Bitcoin appeared to be increasing noticeably. As the price of Bitcoin and tech stocks collapsed together, so did the value of corporations’ Bitcoin holdings. You can sign up in the application if you are interested in investing in Bitcoin.