Bitcoin News: The Blockchain Group Unveils €300M ATM-style BTC Treasury Plan

Key Insights:

• In latest Bitcoin news, The Blockchain Group plans to raise €300M to expand its Bitcoin treasury.
• With 1,471 BTC valued at $154M, Blockchain Group’s new €300M ATM raise aims to significantly boost its holdings.
• Institutional Bitcoin demand rises as Blockchain Group follows the lead of firms like MicroStrategy, which holds 580,000 BTC.

In Bitcoin news column, Paris-based cryptocurrency company the Blockchain Group has said it wants to generate €300 million (around $342 million) to boost its Bitcoin holdings.

The latest in the development catches the attention in Bitcoin News, as the company claims itself as the leader of the stack of institutional Bitcoin treasury in Europe. Due to increasing interest in digital assets by institutions, the Blockchain Group plans to increase its Bitcoin holdings.

The Structure of The Blockchain Group’s Fundraising

The Blockchain Group’s fundraising effort is structured using an “At the Market” (ATM) program, a strategy commonly used by institutional investors in the U.S. The company plans to sell shares at market prices based on daily market conditions.

The pricing for each tranche will be calculated using the “higher of the previous day’s closing price or the volume-weighted average price,” capped at 21% of the day’s trading volume.

This model allows The Blockchain Group to efficiently raise capital to fund its Bitcoin acquisitions, a key component of its business strategy.

With this capital raise, The Blockchain Group plans to continue building its Bitcoin treasury, further contributing to the broader Bitcoin News coverage of institutional Bitcoin purchases.

The proceeds from this offering will directly fund more Bitcoin buys, enabling the company to increase its BTC holdings and maintain its strategy of boosting the value of its Bitcoin treasury.

Bitcoin News: The Blockchain Group’s Expanding BTC Treasury

The Blockchain Group began acquiring Bitcoin in steady increments since November of the previous year. Apart from that, the company holds a total of 1,471 BTC, which is valued at over $154 million, in accordance with the current BTC prices.

The Blockchain Group revealed on June 3 that it had added another $68m in Bitcoin to the company’s coffers. The fundraising will give the company a chance to grow its Bitcoin stash even more as it also bolsters its position in the market.

Since its inception, the Blockchain Group has adopted a strategy of buying Bitcoin at worthwhile prices, with the average BTC purchase price to date as of $102,507.

The new fundraising round will help The Blockchain Group increase its Bitcoin holdings and climb up the ‘bitcoins per share’ metric. The long-term objective of the company is to prove its commitment to Bitcoin, which demonstrates the rising demand for institutional Bitcoin treasuries in the market.

Broader Institutional Trends in Bitcoin News

The Blockchain Group’s fundraising plans fall in line with the broader institutional trend that is sweeping Bitcoin News.

Firms like Michael Saylor’s Strategy are procuring huge amount of money to buy Bitcoin, and Saylor’s firm alone just raised $1 billion to buy more of the crypto. Now, Strategy holds in excess of 580,000 BTC worth more than $61 billion as Bitcoin’s adoption as a reserve asset grows.

Additionally, Metaplanet, a Japanese firm, intends to raise $5.4 billion to buy 210,000 BTC by 2027, giving it a large presence in the Bitcoin market.

These moves show that Bitcoin is becoming increasingly important for institutional portfolios. As Bitcoin is big in global financing, companies such as The Blockchain Group are accelerating to profit from the massive inflow of Bitcoin from institutions.

What’s Next for The Blockchain Group’s Bitcoin Treasury?

The Blockchain Group, which already boasts a market cap of €543 million, has already started expansion into Bitcoin treasuries. The vote of the shareholders, which could take place on June 10, plans to widen the company’s fundraising by reaching €500 million.

Should it succeed in securing these additional funds, this would further cement its role in the space and fuel further buys of Bitcoin, in keeping with its strategy to grow its BTC holdings as its becomes more and more valuable.

The ‘aggressive’ approach taken by the Blockchain Group towards creating their Bitcoin treasury is a response to institutional adoption of Bitcoin. If the price of BTC rises, the Bitcoin holdings of the company will grow even more valuable.