The competition to acquire Bitcoin (BTC) is heating up as more companies recognize its value as an asset. Not only public firms but also private enterprises are getting involved, such as a Norwegian deep-sea mining company planning to invest $1.2 billion in BTC.
This week saw the launch of a new initiative by crypto entrepreneur Anthony Pompliano, aimed at creating a billion-dollar Bitcoin treasury.
As interest in Bitcoin rises, stablecoins are becoming a significant factor in the broader adoption of cryptocurrency. The U.S. is close to enacting crucial stablecoin legislation, while South Korea encourages banks to create won-backed stablecoins. Moreover, the emergence of yield-bearing stablecoins—which one venture executive sees as an “inevitability”—is on the horizon.
Norwegian Miner to Acquire Bitcoin
The Norwegian deep-sea mining company Green Minerals AS has revealed plans to invest as much as $1.2 billion in Bitcoin, underscoring the rising institutional interest in digital currencies.
This Bitcoin strategy is part of a larger vision to integrate blockchain technology into the company’s operations, with a goal of asset diversification away from fiat currencies.
Corporations are competing to purchase Bitcoin, with various entities accumulating vast amounts. Earlier this month, Tether and Bitfinex transferred $3.9 billion worth of Bitcoin to Twenty One Capital, a newly formed company supported by SoftBank and Cantor Fitzgerald.
BNB Treasury Plans from Crypto Executives
Bitcoin isn’t the only digital asset in focus—crypto hedge fund leaders from Coral Capital Holdings are reportedly raising $100 million to invest in Binance’s BNB (BNB) token.
Patrick Horsman, Joshua Kruger, and Johnathan Pasch plan to wrap up their fundraising this month and start acquiring BNB right away. The BNB treasury will be overseen by a new entity, Build & Build Corporation, which will also pursue a public listing on Nasdaq.
Yield-bearing Stablecoins: A New Trend
CoinFund has supported DeFi protocol Veda in an $18 million fundraising effort to enhance its platform for crosschain yield products, which include yield-bearing stable assets.
David Pakman, a managing partner at CoinFund, noted that it’s a natural progression for wealth on-chain to generate yield, thereby making assets productive. Despite the concerns from the U.S. banking sector about these stablecoins, he sees them as an “inevitability,” offering a more convenient path to low-risk yield than traditional savings accounts.
South Korea Embraces Stablecoins
Stablecoins are on the rise in South Korea, backed by collaboration from the central bank and the wider financial sector.
Eight major banks in South Korea are working on developing a won-backed stablecoin to reduce reliance on the U.S. dollar, with a potential rollout set for later this year or early next year.
Ryoo Sangdai, deputy governor of the Bank of Korea, has expressed the goal of having regulated financial institutions primarily responsible for issuing stablecoins, aiming to create a safety net against market disruption and consumer risk.
Currently, the stablecoin market is valued at $239 billion, with 99% of its value pegged to the U.S. dollar.
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