Why You Should Hold Bitcoin as a Corporate Treasury Asset
When companies like Square and MicroStragegy start buying Bitcoin, it’s time to pay attention. But, smaller private companies are also making this move. Here’s why you should consider doing the same.
Brady Swenson
Oct 8, 2020October 8, 20206 min read6 minutes read
If your company is considering acquiring some bitcoin, email us at Treasury@SwanBitcoin.com to see how we can help.
Did you know that companies worldwide are starting to hold Bitcoin on their balance sheets? When companies like Square and MicroStrategy start buying Bitcoin, it’s time to pay attention. But smaller private companies are also making this move. Here’s why you should consider doing the same.
“We believe that bitcoin has the potential to be a more ubiquitous currency in the future. As it grows in adoption, we intend to learn and participate in a disciplined way.”
— Amrita Ahuja, CFO, Square
The Federal Reserve has removed the store of value function of money. It is their stated objective to inflate away the value of the cash in your treasury by at least 2% per year. This adds up quickly. Fortunately, there is an alternative store of value that has matured to the point where large public companies like Square and MicroStrategy trust it as a corporate reserve asset.
“This investment reflects our belief that Bitcoin, as the world’s most widely-adopted cryptocurrency, is a dependable store of value and an attractive investment asset with more long-term appreciation potential than holding cash. Since its inception over a decade ago, Bitcoin has emerged as a significant addition to the global financial system, with characteristics that are useful to both individuals and institutions. MicroStrategy has recognized Bitcoin as a legitimate investment asset that can be superior to cash and accordingly has made Bitcoin the principal holding in its treasury reserve strategy.”
— Michael Saylor, CEO, MicroStrategy
Back in August, MicroStrategy, a billion-dollar Nasdaq-listed company, announced the purchase of 21,454 bitcoin, almost five times the amount Square did. The media mostly slept on the initial investment by MicroStrategy, unlike the coverage of Square, which was widely publicized. These two companies are demonstrating not only the safety of but a necessity to hold Bitcoin on corporate balance sheets to avoid dollar debasement.
“We just had the awful realization that we were sitting on top of a $500 million ice cube that’s melting.”
— Michael Saylor, CEO, MicroStrategy
Swan can help you put Bitcoin on your balance sheet. We have access to deep pools of liquidity and will work with you to help you understand Bitcoin and build a position responsibly and safely.
“We feel pretty confident that Bitcoin is less risky than holding cash, less risky than holding gold.”
— Michael Saylor, CEO, MicroStrategy
If your company is considering acquiring some bitcoin, please email us at Treasury@SwanBitcoin.com to see how we can help.
At a Glance
List below as of 10/8/2020
Here are some companies that hold Bitcoin (BTC) on their Balance sheet as a corporate treasury reserve asset.
“Bitcoin is 19.3 trillion times more secure than it was 10 years ago, 50x more secure than the next best thing. Gold is still as secure as it was in 1934.”
“Bitcoin is digital gold — growing harder, smarter, faster, and stronger due to the relentless progression of technology.”
If your company is considering acquiring some bitcoin, email us at Treasury@SwanBitcoin.com to see how we can help.
Square, Inc.
Date of Announcement: October 8th, 2020
Location: USA
Company type: Publically traded on NASDAQ
Industry: FinTech, Payments
Size of company: 3,835 employees and $81b market cap
“Today, Square announced that it has purchased $50M in bitcoin. Square believes cryptocurrency is an instrument of economic empowerment and provides a way to participate in a global monetary system, which aligns with the company’s purpose.”
If your company is considering acquiring some bitcoin, email us at Treasury@SwanBitcoin.com to see how we can help.
Tahinis Restaurants
Date of Announcement: August 18th, 2020
Location: Canada
Company Type: Private
Industry: Restaurant Chain
Size of Company: 4 corporate locations and 3 franchises coming soon
“We as a company decided to store all of our excess cash reserves into Bitcoin as it offers a much better alternative to saving cash. We will continue to do that over the coming years and maybe forever if we don’t need the fiat.”
“For me I view Bitcoin as a true savings technology that stores wealth across time and space. And it became apparent to me that a game of musical chairs is being played out right now, and the music will stop, and some people will get left out.”
If your company is considering acquiring some bitcoin, email us at Treasury@SwanBitcoin.com to see how we can help.
“Would you rather save money in a currency whose supply is inflating yearly? Or would you rather save in a currency whose terminal supply is programmatically fixed?”
If your company is considering acquiring some bitcoin, email us at Treasury@SwanBitcoin.com to see how we can help.
Swan Bitcoin
Date of Announcement: October 8th, 2020
Location: USA
Company type: Private
Industry: FinTech, Bitcoin
Size of company: 8 employees
CEO: Cory Klippsten
Amount of Bitcoin: 100% of revenue, 50% of Treasury
“We are a Bitcoin company, and we hold Bitcoin as a reserve asset because we believe Bitcoin is the best savings technology in the world.”
If your company is considering acquiring some Bitcoin, email us at Treasury@SwanBitcoin.com to see how we can help.
Which Company is Going to Buy Bitcoin Next?
As more companies realize the advantages of holding Bitcoin on your balance sheet, we’ll likely see an acceleration of these announcements.
“No one wants to be first, last, or left behind.”
Putting Bitcoin on the balance sheet is no longer considered a risky move. Thanks to MicroStrategy and Square, Inc, who set a strong precedent for future companies considering a similar move.
If your company is considering acquiring some bitcoin, email us at Treasury@SwanBitcoin.com to see how we can help.
Brady Swenson
Brady is a Swan cofounder focused on Product Marketing and Education. He launched Citizen Bitcoin and Swan Signal Live, two popular Bitcoin podcasts.
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