Institutional Support for Bitcoin Grows as Public Companies Boost Holdings to $20 Billion

A recent survey revealed that 26% of institutional investors and wealth managers back Bitcoin’s potential as a reserve asset, reflecting growing support for its adoption among corporations. Over the past year, the amount of Bitcoin held by publicly traded companies has surged by nearly 200%, from $7.2 billion to $20 billion.

Data from Bitbo indicates that 42 publicly listed firms currently hold 335,249 Bitcoin, valued at approximately $20 billion. This marks a significant 177.7% increase in the value of Bitcoin held by these companies compared to a year ago, according to investment manager Nickel Digital Asset Management. The trend began in August 2020, when MicroStrategy made headlines by acquiring over 21,000 Bitcoin and designating it as its primary treasury reserve asset. By August 2024, the company’s Bitcoin holdings had risen to 226,500.

As corporate interest in Bitcoin has grown, Nickel Digital commissioned a survey to gauge institutional views on holding the cryptocurrency. The survey targeted 200 institutional investors and wealth managers from the U.S., U.K., Germany, Singapore, Switzerland, Brazil, and the UAE.

According to the survey, 75% of respondents already invested in the crypto space believe publicly listed companies should consider holding Bitcoin. Furthermore, 26% of those surveyed strongly endorse Bitcoin’s role as a reserve asset. The respondents, collectively managing $1.7 trillion in assets, also anticipate a significant increase in the number of companies adopting Bitcoin. Around 58% believe that within five years, 10% or more of publicly traded firms will hold Bitcoin on their balance sheets, while 8% predict that 25% or more will do so.

Anatoly Crachilov, CEO and founding partner of Nickel Digital, highlighted that institutional investors see long-term value in Bitcoin, particularly as a hedge against currency debasement. He emphasized that listed companies allocating reserves to digital assets could help mitigate financial risks.

Despite the substantial holdings by public firms, the 335,249 Bitcoin they possess represents only 1.6% of Bitcoin’s total supply, capped at 21 million.