Public companies have reached a historic milestone by accumulating over 1 million Bitcoins, underscoring growing institutional confidence in the cryptocurrency.
Corporate Bitcoin Accumulation Leaders
Among the leading companies is Strategy, co-founded by Michael Saylor. Since starting its accumulation in August 2020, Strategy has amassed 636,505 BTC, making it the leader among corporate treasuries.
Companies like MARA Holdings with 52,477 BTC and Jack Mallers’ XXI with 43,514 BTC also hold significant positions. Additionally, Bullish and Metaplanet, with 24,000 and 20,000 BTC respectively, show substantial interest in Bitcoin.
Current Issues for Miners
The surging popularity of Bitcoin on Wall Street has ironically led to declining revenues for miners. While institutional inflows have driven BTC prices higher, network activity has not kept pace, resulting in historic lows for transaction fees. This creates financial pressure on miners, often forcing them to liquidate their assets or shut down operations.
Prospects and Challenges for Bitcoin Network
With the upcoming halving in 2028 reducing block rewards to 1.5625 BTC, the situation for miners may worsen. Without new applications boosting demand for blockspace, the network’s security could weaken, and Bitcoin's image as ‘digital gold’ may lose its significance.
Thus, the accumulation of Bitcoins by public companies represents a significant event, but it also brings complex challenges for Bitcoin itself. Maintaining the health of the network and its decentralized nature requires attention to miners’ interests.
