29th January 2025 > > Global adoption of BTC.

tl;dr

Arizona develops its BTC acquisition plans. Metaplanet is already hard at work on that project, with some stunning results. Czechoslovakia may announce its BTC pivot as early as tomorrow. FOMO is building.

Market Snap

Market Wrap

Nearly $500mm outflows from the spot BTC ETFs on Monday – in response to DeepFake, or whatever it is called – takes out some of the hot money, which is always a good thing.

Curious Cryptos’ Commentary – Arizona

On 7th March, 2024, the CCC reported:

“I think we can safely assume that Warren’s anti-crypto army holds no sway in Arizona.

The State Senate is mulling over legislation to allow for the inclusion of spot BTC ETFs in the state-run retirement funds which have $5.5 TRILLION in AUM. Having already passed two votes this looks like a ground-breaking source of new demand for the ETFs.”

Since then, several other states including Pennsylvania, Michigan, Wisconsin, Ohio, Texas, Oklahoma, and New Hampshire have made a similar move:

Though the wheels of democracy turn slowly, the Arizona State Senate Finance Committee has now approved Arizona’s Strategic Bitcoin Reserve Act. The Senate Rules Committee are next to vote (how many bureaucrats does a state need?), before the Arizona Senate makes its final decision. Though the naysayers won’t like this, I think we know what the answer will be.

Curious Cryptos’ Commentary – Metaplanet

Metaplanet has set out its BTC acquisition plans in detail:

That’s quite a ramp-up to be funded by debt and equity instruments. To that end, Metaplanet issued 21mm shares of 0% Discount Moving Strike Warrants for Yen 116bn (approximately $750mm) solely for this purpose. I am told they had no problems placing these warrants, though I am not sure of the investment case for a warrant whose strike price is reset daily to the previous closing price. I guess as an old school bond and credit derivatives trader, the machinations of equity investors are beyond my ken.

In the last year, Metaplanet’s share price has increased from Yen 105 to Yen 4,300, with a large increase in the number of shareholders, and a near 500% increase in trading volume. That has to attract other corporations to adopt BTC as part of their treasury reserves.

Curious Cryptos’ Commentary – Czechoslovakia

On the 8th January,2025, the CCC reported that Czechoslovakia is mulling over adding BTC to its reserves. The FT, through grinded teeth, agrees:

I am told that the plan will be presented tomorrow with the aim of moving 5% of the central bank’s reserves of $146bn into BTC.

Demand for BTC appears to be unlimited.