Here’s Why Holding Bitcoin Should Be a No-Brainer for Corporations

TL;DR

BTC treasuries is perhaps probably the most compelling pitch in company historical past — an asset that, over 5 years, holds its worth at worst and doubles at greatest!

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So, Reddit is planning on going public, which implies a complete bunch of beforehand non-public company data is now being made public.

And seems…

Reddit has been holding Bitcoin, Ethereum, and Polygon.

Which begs the query — why aren’t extra corporations doing so? Trigger we simply did some tough math, and managed to persuade ourselves that:

Bitcoin treasuries are probably the most compelling pitches in company historical past.

Right here’s how we obtained there…however first, keep in mind this:

Traditionally, anybody that has purchased and held Bitcoin for 5 or extra years has made cash (a minimum of on paper).

Let’s say Reddit began shopping for Bitcoin in 2021 — shortly after Michael Saylor popularized the concept of company BTC treasuries.

That may imply it’s 3 years into its 5 yr break even interval.

The subsequent 12 months look promising for BTC, with potential new all-time-highs on the horizon.

This might imply there’s an excellent likelihood Reddit’s BTC buy can be in revenue very quickly, if it isn’t already.

Alright, now for some again of the serviette math…

Whereas 5 years is the ‘secure zone’ for a break even Bitcoin funding — that boundary downplays issues fairly a bit.

Trigger proper now, BTC is at $51.5k. However 5 years in the past, it was sitting at ~$3.8k.

(That’s a tidy 13.5x enhance).

So let’s sand bag these numbers, assuming these sorts of value will increase are lengthy gone, and at greatest, we’re solely going to see a 1-2x value enhance over 5 years, from right here on out…

That’s nonetheless probably the most compelling pitches in company historical past:

A treasury asset that, over a 5 yr interval: holds its worth at worst — and doubles at greatest!

Right here’s why you must care:

Company adoption of Bitcoin ought to enhance costs over time, and what’s good for Bitcoin, is sweet for your entire crypto trade.