BTC Digital Completes $1 Million Bitcoin Strategic Reserve, Sets Sights on $10 Million+ Total Crypto Reserves by Year‑End
Rhea-AI Summary
BTC Digital (NASDAQ:BTCT) has announced the completion of its $1 million Bitcoin strategic reserve, following last week's establishment of a $1 million Ethereum reserve. The company aims to expand its total crypto reserves to over $10 million by the end of 2025.
The strategic reserves will support three key areas: on-chain business deployment for stablecoin integrations and DeFi liquidity, RWA infrastructure for custody and staking, and balance sheet stability. CEO Siguang Peng emphasized the importance of BTC and ETH as central-bank-grade assets in the stablecoin and RWA era.
Future initiatives under consideration include ETH staking, BTC-backed stable-asset programs, and an RWA issuance platform.
Positive
- None.
Negative
- Significant exposure to volatile crypto assets on balance sheet
- Large capital commitment required to reach $10M+ reserve goal
- Regulatory uncertainty surrounding crypto and RWA operations
News Market Reaction
On the day this news was published, BTCT declined 8.00%, reflecting a notable negative market reaction. Argus tracked a trough of -8.5% from its starting point during tracking. Our momentum scanner triggered 53 alerts that day, indicating high trading interest and price volatility. This price movement removed approximately $2M from the company's valuation, bringing the market cap to $26M at that time. Trading volume was elevated at 2.1x the daily average, suggesting increased selling activity.
Data tracked by StockTitan Argus on the day of publication.
Use of Strategic Reserves
- On‑Chain Business Deployment: Support for stablecoin integrations, decentralized finance (DeFi) liquidity provision and cross‑chain payment rails.
- RWA Infrastructure: Backing custody, staking and credit‑enhancement structures within the Company's RWA segment.
- Balance Sheet Stability: Maintaining a robust digital‑asset reserve profile to bolster market confidence and enhance capital‑markets transparency.
Management Commentary
"BTC and ETH represent the 'central‑bank‑grade assets' of the stablecoin and RWA era," said Mr. Siguang Peng, CEO of BTCT. "By incorporating them into our core asset‑allocation framework through a long‑term lens, we're not only upgrading our asset‑management strategy, but also laying the groundwork for a deeper role in tomorrow's on‑chain financial ecosystem."
Looking Ahead
BTCT will continue monitoring developments in on‑chain
About BTC Digital Ltd.
BTC Digital Ltd. is a blockchain technology company, with a long-term strategy to create value across the metaverse, blockchain and cryptocurrency mining industry. The Company is committed to developing blockchain related businesses in
For more information, please visit: https://btct.investorroom.com/
Safe Harbor Statement
This news release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and as defined in the
View original content:https://www.prnewswire.com/news-releases/btc-digital-completes-1-million-bitcoin-strategic-reserve-sets-sights-on-10-million-total-crypto-reserves-by-yearend-302504114.html
SOURCE BTC Digital Ltd.