The Paris-based crypto firm Blockchain Group is expanding its Bitcoin treasury by raising 63. 3 million euros ($72 million) through a bond sale. With these funds, the company aims to purchase an additional 590 Bitcoin (BTC), raising its total BTC holdings to 1, 437, the Blockchain Group announced on May 26. Bitcoin is currently trading above $109, 000, meaning the Blockchain Group could potentially acquire 658 BTC with the entire raised amount, per CoinGecko data. However, the company clarified that only 95% of the bond proceeds will be invested in Bitcoin, with the remaining 5% allocated to “operational expenses and management fees. ” Venture capital firm Fulgur Ventures was the major investor, contributing 55. 3 million euros ($62. 9 million), while crypto private investment fund Moonlight Capital invested 5 million euros ($5. 7 million). The bonds are convertible into Blockchain Group shares at a rate of 3. 809 euros ($4. 34) each. Listed on Euronext Paris—Europe’s second-largest stock exchange by market capitalization—the Blockchain Group (ALTBG) focuses on “increasing the number of Bitcoin per share over time by leveraging the holding company’s excess cash and appropriate financing instruments, ” according to its website. On May 26, ALTBG’s stock closed down nearly 5. 5% at 2. 77 euros ($3. 16), yet it has surged approximately 766% year-to-date, according to Google Finance.

After it started purchasing Bitcoin on November 5, 2023, the stock price jumped 225% to 0. 48 euros ($0. 52). In its 2024 fiscal year results published on April 30, Blockchain Group reported a yield on its Bitcoin holdings exceeding 709%. Meanwhile, the company's total consolidated revenue for the year was 13. 864 million euros ($15. 8 million), down 32. 1% from 20. 408 million euros ($23. 2 million) in the previous fiscal year. The firm also stated that its long-term goal is to acquire 1% of the total Bitcoin supply within eight years, targeting over 170, 000 BTC by 2032. More companies embracing the “orange pill” An increasing number of public companies are buying and holding Bitcoin long-term, aiming to benefit from potential gains. For example, Swedish health tech company H100 Group AB announced a Bitcoin-focused shift on May 22, becoming one of the recent adopters of this approach. Similarly, Strive Asset Management revealed on May 7 it would transition into a Bitcoin treasury company. Experts suggest that despite Bitcoin’s volatility, companies can gain tangible long-term advantages from holding the asset, such as protection against inflation, potential price appreciation over time, and a lower correlation with equity markets.