Blockchain Group’s Plans for Bitcoin Treasury Expansion

The Paris-based Blockchain Group, a cryptocurrency firm, is looking to raise over $340 million for its Bitcoin Treasury, signaling an ongoing commitment to enhancing crypto adoption among institutions in Europe.

Claiming to be the first Bitcoin financing company in Europe, Blockchain Group aims to gather 300 million euros (approximately $342 million) to fuel further Bitcoin purchases, as noted in their recent news release.

The fundraising round is inspired by U.S. practices related to in-market offerings. Shares will be sold based on market conditions set by the company’s counterparty and subject to prior volume.

The raises will occur in tranches, with prices increasing to 21% of the trading volume for that day, relying on “higher closing prices from the previous day or higher than the volume-weighted average price,” according to the announcement.

The announcement follows the company’s recent acquisition of $68 million in Bitcoin, which brought its total holdings to over 1,471 Bitcoins, valued at around $154 million, as reported on June 3.

Other institutional Bitcoin holders have also initiated fundraising to acquire more BTC. Notably, Michael Saylor has announced plans to raise approximately $1 billion through stock offerings, significantly surpassing a previous goal of $250 million.

This strategy positions him as the world’s largest corporate Bitcoin holder, with more than $61 billion in Bitcoin, making up 2.76% of the total Bitcoin supply.

The Shift in Bitcoin Momentum

Bitcoin has entered a phase of price consolidation, having recently breached its all-time high of $112,000 on May 22.

Despite some setbacks, experts like Stella Zlatareva from Nexo suggest that institutional adoption and strategic treasury movements are fostering a bullish long-term outlook. She noted, “Regardless of short-term price fluctuations, strategic acquisitions and treasury allocations reflect long-term confidence.”

Zlatareva also pointed out Bitcoin’s resilience, with strong support indicated at $103,000, suggesting little risk of mass selling or forced liquidations.

However, despite a positive attitude toward treasury-based accumulation, U.S.-listed Bitcoin exchange-traded funds (ETFs) have struggled to maintain inflows.

Recently, the ETF experienced over $47 million in outflows on Friday, following a net loss of $278 million the previous day.