Bitcoin volume held by private corporations increased markedly in 2021, building on the increases from the previous year.
In February 2021, MicroStrategy's "Bitcoin for Corporations" conference led to a significant increase in BTC held by public companies compared with those held by spot ETFs. Bitcoin volume held by private corporations increased markedly in 2021, building on the increases from the previous year. On-chain analyst Willy Woo noted in a tweet of Jan. 3 that public companies holding "significant BTC have gained market share from spot ETFs." as a way to access BTC exposure on public equity markets”. This online seminar provided information on the legal considerations for firms interested in integrating Bitcoin into their businesses and reserves.
Michael Saylor's MicroStrategy is a leading business intelligence firm that is highly bullish on Bitcoin. MicroStrategy owns almost $6 billion in cryptocurrency assets. According to Saylor, his firm purchased 1,914 BTC for $94 million on Dec 30. Since its purchase of BT in August 2020, the company has earned over $2.1 billion in profit.
Based on crowdsourced data on corporate treasuries, Woo presented an overview of BTC holdings in ETFs and public company treasuries that are available for public ownership.
As compared to Futures, spot exchange-traded funds (ETFs) hold Bitcoin, rather than contracts on the CME futures market, where companies buy exposure. By the end of 2021, Grayscale will have achieved the highest share of the digital currency asset management market, with 645,199 BTC. In total, ETFs and corporations held 903,988 Bitcoin, representing 71% of the wider market.
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According to Bitcoin Treasuries, MicroStrategy owns 124,391 BTC worth $5.8 billion, making it the largest corporation to invest in bitcoin. The second-placed Tesla currently holds about 43,200 coins worth roughly $2 billion at current prices.
According to reports in 2020, public companies held $3.6 billion worth of bitcoin for 12 months, an increase of 400%