Cryptographic treasury companies have started to buy more than $ 7.8 billion in cryptocurrencies this week, in the event, one of the largest entries of business cryptography in recent history – in particular for altcoins.
Cointtelegraph has analyzed 16 declarations of the company since Monday, which announced a plan to buy or collect funds for the crypto. Ether (ETH) was the hottest target.
At least five public companies have bought or promised to buy more than $ 3 billion in ETH, about 45 times more than the amount of ethn issued last week.
So-called cryptographic cash companies are the latest Wall Street mode as traditional financiers, often restricted to be able to buy crypto or stock market treated products directly, seek to expose themselves to the rapidly growing sector.
The popularity of the ETH increases for the bet corporate bet
Bitcoin Miner BTCS Inc. filed on Tuesday plans to sell up to $ 2 billion in equity to finance Ether’s future purchases.
The Sharplink game by Joe Lubin, already the second largest company in the Trésor Ethereum, has further strengthened the total by buying $ 338 million with two separate purchases on Monday and Thursday.
The Ether machine also picked up the assets this week, buying $ 15,000 for around $ 57 million.
Meanwhile, two other ether purchase companies were born this week, with the Biotechnological Company 180 Life Sciences Corp Rebranding in Ethzilla Corporation as part of an agreement of $ 425 million and Merchant Fundamental Global Rebranding to FG Nexus in an agreement of $ 200 million.
Cryptographic cash companies are also hot on Altcoins
Cryptographic cash companies were also dazzled by Altcoins this week.
The largest purchase announcement in Altcoin came from Tron Inc., a Penny Stock toys taken by Justin Sun’s Blockchain Tron, who said on Monday that she wanted to raise $ 1 billion to buy the Blockchain Tron (TRX) token.
Three other companies have reported plans to buy Solana (Sol), SU (SUI) or BNB (BNB) – A token with close links with the crypto exchange binance.
The most notable cash company to train this week was CEA Industries, a Canadian vaping company that has become a BNB purchasing company after taking control by the investment company 10x Capital and Yzi Labs. The company has once described as the co-founder of the Binance Changpeng Zhao family.
It plans to raise at least $ 500 million with plans to potentially unlock $ 1.25 billion to buy BNB, which would mainly be held by Zhao and Binance.
On Thursday, the technological company CEMTREX Inc. said that it had bought a million dollars in ground with the aim of expanding $ 10 million, while Mill City Ventures III lender concluded an agreement of $ 450 million to pivot to buy SU.
Crypto purchasing companies hold $ 100 billion, but not without risk
The research analyst of Galaxy Will Owens wrote in a report on Wednesday that Crypto treasure companies collectively held more than $ 100 billion in crypto, including $ 93 billion.
The corporate model is not without risk, said Owens, and not all of them are assessed that investors apply “very different” equity bonuses to the value of the assets of a company.
Michael Saylor’s strategy, for example, had a 58% stock bonus, which, according to Owens, reflected its “scale and maturity”, while the Japanese metaplanet was negotiated at a premium of 179% due to its “model of aggressive capital training”.
He added that the corporate model “criticizes a critical capital premium in navigation. If the premium collapses, or worse, goes to a discount, the model begins to break.”
“The trade in cash companies is becoming more and more congested,” said Owens. “When hundreds of companies adopt the same unidirectional trade (increase equity, buy crypto, repeat), it can become structurally fragile. A slowdown in one of these three variables (feeling of investor, price of cryptography and liquidity of capital markets) can start to uproot the rest. ”
The strategy helps stimulate bitcoin purchases
Bitcoin has remained a popular choice for cryptographic cash companies such as Strategy, with seven companies offering or buying a total of $ 2.7 billion in Bitcoin.
The strategy, formerly Microstrategy, bought 21,021 bitcoin after having collected $ 2.5 billion in its fourth privileged stock, STRC.
The smarter web company in the United Kingdom has also spent around $ 26.5 million out of $ 225 bitcoin, and Metaplanet bought 780 bitcoin for around $ 92 million.
On Tuesday, a new Bitcoin cash company was transformed through the energy company Zooz Power Ltd., with plans for an agreement of $ 180 million to buy Bitcoin.
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