Home Cryptocurrency Matador Aims to Buy 6,000 BTC, Eyes Top 20 Spot by 2027

Matador Aims to Buy 6,000 BTC, Eyes Top 20 Spot by 2027

TL;DR

  • Matador files CA$900M prospectus to fund its Bitcoin treasury strategy over the next two years.
  • The company eyes a 6,000 BTC allocation and 1% of the total supply to become a major corporate Bitcoin holder.
  • “Flywheel” strategy includes BTC accumulation, synthetic mining, and DeFi-linked revenue generation.

Canadian Firm Plans Major Bitcoin Purchase

Matador Technologies, a public company based in Canada, says it plans to grow its Bitcoin holdings to 6,000 BTC by 2027. The firm has also set a near-term goal of owning 1,000 BTC by 2026. The announcement marks a shift in pace for its crypto strategy.

At present, Matador holds 77.4 BTC, which is worth roughly $9 million at today’s prices. Its long-term goal is to hold 1% of Bitcoin’s total supply. If reached, this would place the company among the top 20 corporate Bitcoin holders worldwide. CEO Deven Soni said the company is built around Bitcoin. 

“Our business is structured around Bitcoin as a core asset,” he stated.

New Filing Supports Treasury Growth

To support its plans, Matador filed a CA$900 million shelf prospectus on July 14. The filing will let the company raise funds over the next 25 months. Capital may come from equity offerings, convertible deals, asset sales, Bitcoin-backed loans, or new partnerships.

Earlier this month, Matador received final approval from the TSX Venture Exchange to operate as a hybrid “technology/investment issuer.” This change gives the company more room to develop a Bitcoin-focused strategy while still working on blockchain-related projects.

Strategy Focused on BTC Accumulation

The company has described its approach as a “compounding flywheel” strategy. It includes growing its Bitcoin holdings, increasing BTC-per-share value, and using market volatility and synthetic mining to build yield. The plan also includes creating BTC-based revenue streams and working with DeFi and crypto infrastructure firms.

Mark Moss, the company’s chief visionary officer, said the approach is aimed at long-term strength. 

“Our future plans to accumulate Bitcoin are designed to establish long-term stability on our balance sheet while reducing exposure to inflationary risk,” he said.

Matador’s plans come during a rise in corporate Bitcoin ownership. Public and private companies now hold an estimated 1.15 million BTC. That total is around 6% of the current supply. Meanwhile, Strategy continues to lead with the largest BTC treasury, now worth more than $73 billion.

Despite the announcement, Matador’s stock fell 4.65%, per Google Finance. Still, its shares remain up 37% since the beginning of the year.

The post Matador Aims to Buy 6,000 BTC, Eyes Top 20 Spot by 2027 appeared first on CryptoPotato.

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