A huge rally in the price of bitcoin is encouraging digital asset companies to tap capital markets for funds to buy cryptocurrencies, taking advantage of buoyant investor demand.
Bitcoin’s 50 per cent jump from its early April lows to an all-time high of $111,965 last week is sparking a rush to list vehicles offering to sell shares and debt while promising to build large crypto reserves. On Tuesday the media company run by Donald Trump’s family confirmed plans to raise $2.5bn to buy cryptocurrencies.
The number of listed companies holding bitcoin has jumped from 89 at the start of April to 113, according to BitcoinTreasuries.net, holding just over 800,000 bitcoin worth around $88bn.