Crypto enthusiasts, pay attention! Bitcoin is no longer just a reserve asset for Canadian companies. This week, two firms made significant moves that highlight a shift in how BTC is being integrated into corporate finance.
Belgravia Hartford, a Toronto-based investment firm, is ramping up its Bitcoin treasury by accessing fresh capital. They recently pulled another $1 million from their credit line with Round13 Digital Asset Fund, bringing their total draw to $1.5 million, all of which is being invested in Bitcoin. Belgravia is acquiring BTC through Coinsquare, a regulated OTC desk, and recently purchased 1.5 BTC for approximately $161,000 on June 20. This purchase increased their total Bitcoin holdings to 6.4 BTC, valued at around $685,000. CEO Mehdi Azodi emphasized that regularly adding BTC to their balance sheet is crucial for accretive growth in shareholder value, leading them to launch a Bitcoin-focused private placement to raise more capital and continue building their BTC reserves.
In a similar vein, Bitcoin Treasury Corporation, a Canada-based firm specializing in institutional Bitcoin services, made a significant move by acquiring 292.80 BTC, worth about $31.5 million. This purchase was funded by a $125 million share offering and signifies the beginning of the company’s accumulation strategy. However, their goal is not just to hold Bitcoin but to utilize it for lending to institutions, providing liquidity while managing risk. Bitcoin Treasury Corporation has a clear long-term view, with Bitcoin playing a crucial role in their growth and operations.
These developments signal a broader trend in Canada, where companies are increasingly embracing Bitcoin as a financial tool rather than just a hedge. Belgravia’s gradual treasury building and Bitcoin Treasury Corporation’s strategic approach demonstrate a shift towards viewing BTC as an essential part of corporate finance.
Stay tuned for more updates on how this narrative unfolds in the world of Canadian corporate finance!