What Are BTC Treasury Companies?

6 min readarticleIncludes quiz · 3 questions

In August 2020, MicroStrategy became the first public company to adopt Bitcoin as its primary treasury reserve asset. Its CEO, Michael Saylor, called the dollar "a melting ice cube" and bet the company's cash reserves on Bitcoin. Dozens of companies have followed.

A BTC treasury company is any business that holds Bitcoin on its balance sheet like “digital property” or cash reserves. It can be a tech firm, a public company, a private startup, or even a nation-state treasury-like entity.

Simple definitions:

  • •Treasury: The cash and investable assets a company manages.
  • •BTC Treasury: Portion of treasury allocated to Bitcoin.
  • •Policy: Rules that explain how much to buy, when, and how to store it.
  • •Custody: How the Bitcoin is held (self-custody, custodian, or multisig).
Key Takeaway

A Bitcoin treasury company holds Bitcoin on its balance sheet instead of (or alongside) cash and bonds. This protects corporate reserves from inflation while providing shareholders with Bitcoin exposure.

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