Some companies have acquired cryptocurrencies for their corporate treasuries despite the volatility. MicroStrategy, the public company that holds the most bitcoin on the balance sheet, remains bullish on bitcoin.
June 30, 2021 | Wendy Weng- Companies from the US and information technology sector hold the most bitcoin
- MicroStrategy continues its bitcoin acquisition spree
- Tesla will resume bitcoin transactions once half of bitcoin can be mined using clean energy
Interest in cryptocurrencies among institutional investors surged and more corporate treasuries allocated reserves to cryptocurrencies, especially in the months before its price plummeted in May 2021. As of 28 June 2021, 34 public companies collectively hold over 213,000 bitcoins, according to data from CryptoTreasuries. Together, these represent 1.14% of the total supply of bitcoins in circulation and are equivalent to $7.4 billion based on price on 28 June 2021.
In addition to blockchain and bitcoin mining companies, some companies that do not conduct businesses related to digital assets such as the business intelligence software company MicroStrategy and electric-automobile manufacturer Tesla also hold large amounts of bitcoin on the balance sheet, as bitcoin is seen as an inflation hedge.
Top companies with bitcoin holdings
Twelve companies from the US together hold over 185,000 bitcoins on their balance sheet, accounting for 87% of the aggregate number of bitcoins held by all 34 public companies, while the share of 13 Canadian companies is much smaller at 9.3%. The top 10 public companies that hold the most bitcoin comprise seven from the US, two from Canada and one from Germany. In addition, those from information technology sector hold the most bitcoin on their balance sheet, with a share of 66.8%, followed by companies from consumer discretionary sector (20.2%) and financial sector (11.8%).
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Keywords:Bitcoin, Cryptocurrency, Digital Asset, Tokens, Blockchain Technology, Digital Investment
