Swede-Based Crypto Firm's Treasury Strategy Gets $1.4M Investment from Bitcoin Pioneer Adam Back
Swedish Health Tech Firm H100 Group AB Embraces Bitcoin as Treasury Asset
In a noteworthy move, H100 Group AB, a Swedish health technology company, has announced the adoption of Bitcoin as a treasury asset, becoming the first public company in the country to do so. Blockstream CEO Adam Back led the 21 million Swedish krona ($2.2 million) funding round, contributing $1.4 million personally.
The funds were raised through interest-free convertible loans, maturing in June 2028. H100 plans to use the capital to purchase approximately 20.18 Bitcoins, adding to the 4.39 Bitcoin they already purchased on May 22. This move brings their total Bitcoin holdings to around 24.57 Bitcoin.
Investors holding the convertible loans can convert their investments into equity at 1.3 Swedish krona per share. Should H100's stock price trade at least 33% above the conversion price for 60 trading days, the company can force conversion. A full conversion would create over 16 million new shares, resulting in roughly 12% dilution for existing shareholders. H100's stock price surged by 37% on the day of the announcement and gained another 5.33% the following day.
MicroStrategy Contemplates Further Bitcoin Acquisition
MicroStrategy co-founder Michael Saylor hinted at another Bitcoin purchase for the company, following its recent acquisition of 7,390 Bitcoins worth $765 million on May 19. Saylor expressed his strategy for only buying Bitcoin with money he can't afford to lose amid Bitcoin's recent pullback from a record high of $112,000 on May 22.
The potential Bitcoin purchase would mark the company's seventh consecutive week of accumulation, reinforcing its position as a leading corporate Bitcoin holder. Analysts anticipate that MicroStrategy's strategy could drive the company's valuation higher. John Jeff Walton, a financial analyst, suggested MicroStrategy could eventually become a $10 trillion enterprise, attributing this potential growth to the company's ability to raise billions in capital quickly and invest it into Bitcoin rather than traditional operational expenses.
Cardone Capital Blends Real Estate with Bitcoin Investment
Cardone Capital launched the 10X Miami River Bitcoin Fund, combining a 346-unit Miami property with $15 million worth of Bitcoin. This is the real estate firm's fourth hybrid fund merging income-generating properties with cryptocurrency investments. The strategy leverages real estate cash flows to purchase additional Bitcoin over time.
Founder Grant Cardone derived the idea from his brother, who suggested examining the historical impact of converting real estate income into Bitcoin. Cardone discovered that such a strategy could have turned $160 million into approximately $3 billion over the past 12 years. Cardone Capital aims to purchase $1 billion in real estate and $200 million in Bitcoin across its hybrid fund offerings, positioning these funds as alternatives to traditional REITs.
The trend of companies adopting Bitcoin as a treasury asset shows increasing adoption across the global financial scene. However, the search results did not specifically mention any Swedish companies embracing Bitcoin in this manner. The unspoken question is whether more Swedish companies will follow H100's lead.
expands the scope of treasury assets for other Swedish companies, given H100 Group AB's Bitcoin adoption; the National Stock Exchange of Sweden (NSE) might witness an increased interest in cryptocurrency investments among listed companies; if more Swedish firms follow H100's example, they could join MicroStrategy and Cardone Capital as corporate Bitcoin holders in the finance and technology sectors.
