Public Companies’ Bitcoin Holdings Surge to $20 Billion in One Year

Recent data indicates that the total Bitcoin holdings among publicly traded firms have experienced significant growth, rising from $7.2 billion to an impressive $20 billion over the course of one year.

According to data from Bitbo, there are currently 42 publicly listed companies holding a total of 335,249 Bitcoin (BTC), which equates to approximately $20 billion in value. This marks a dramatic 177.7% increase in the value of their Bitcoin holdings since last year.

The trend towards Bitcoin investment began with MicroStrategy, a business intelligence firm that made headlines in August 2020 by acquiring over 21,000 BTC, positioning it as its primary treasury reserve asset. As of August 2024, MicroStrategy has increased its Bitcoin holdings to 226,500 BTC.

Investor Confidence in Bitcoin as a Reserve Asset

To gauge institutional sentiment regarding Bitcoin, Nickel Digital Asset Management conducted a survey involving 200 institutional investors and wealth managers from various countries, including the United States, the United Kingdom, Germany, Singapore, Switzerland, Brazil, and the United Arab Emirates.

• 75% of firms already invested in the crypto market believe that publicly listed companies should hold Bitcoin.
• 26% of participants strongly endorse Bitcoin’s viability as a reserve asset.

The survey participants manage a combined $1.7 trillion in assets and forecast a growing trend in Bitcoin adoption among publicly traded firms.

• 58% of respondents expect that within five years, 10% or more of listed companies will include BTC on their balance sheets.
• 8% predict that 25% or more of public firms will add Bitcoin to their balance sheets over the next five years.

Nickel Digital’s CEO, Anatoly Crachilov, noted that the results underscore institutional investors’ perception of Bitcoin as a long-term value proposition, stating:

“Institutional investors and wealth managers are clearly seeing long-term value in having listed companies initiate exposure to digital assets as part of their reserve allocation thus helping mitigate the risk of currency debasement.”

Despite the substantial increase in corporate Bitcoin holdings, the 335,249 BTC held by public companies only represents a mere 1.6% of Bitcoin’s total supply, which is limited to 21 million coins.