Treasury, a Bitcoin-oriented company, has secured initial funding of €126 million, enabling the acquisition of over 1,000 bitcoins and announcing plans to become the first Bitcoin treasury listed on a primary European exchange.
Funding and Bitcoin Acquisition
The Treasury company raised €126 million ($147 million) through a private funding round led by Winklevoss Capital and Nakamoto Holdings. The funds were used to purchase over 1,000 bitcoins, serving as a launchpad for its Bitcoin treasury.
Plans for Exchange Listing via Reverse Merger
Treasury plans to enter the Euronext Amsterdam stock exchange through a reverse merger with lender MKB Nedsense. A reverse listing allows private firms to gain exchange listings without meeting the usual requirements by merging with already-listed companies.
Criticism of Bitcoin Treasury Model
Despite the growing interest in Bitcoin treasury models, they face criticism. A recent report by venture firm Breed suggests that only a few of these companies will survive long-term. Treasury's founder, Khing Oei, emphasized that they are closely monitoring leverage ratios, stating that their capital market strategy employs a lower level of leverage than competitors.
As Treasury seeks to establish itself in the growing Bitcoin treasury space, challenges regarding debt levels and the viability of such models remain pertinent.
