Bitcoin could account for 25% of the S&P 500 by 2030: Architect Partners

Pioneering strategy in using Bitcoin as a treasury reserve asset, and to date, 90 companies have adopted this strategy.

Bitcoin is shifting from exchanges to corporate treasuries and could become the standard by the end of this decade, according to an analyst’s assessment.

“According to various strategies and implementations, I predict that by 2030, a quarter of the companies in the S&P 500 will hold BTC on their balance sheets as a long-term asset,” Elliot Chun, a partner at Architect Partners, commented in the market report.

The strategy of holding Bitcoin as a treasury reserve asset was once considered unconventional when Strategy, formerly known as MicroStrategy, first adopted it in August 2020. The company views BTC as a hedge against inflation, a diversification tool, and a factor that helps to differentiate itself in the market.

Former CEO Michael Saylor, with a strong pro-Bitcoin stance, has turned MicroStrategy into an indirect representative for BTC. Since then, the company’s stock has increased by over 2,000%, surpassing both the S&P 500 and Bitcoin itself during the same period, according to Chun.

GameStop is the latest name to join this trend, announcing plans to raise $1.3 billion through convertible bonds to purchase Bitcoin. The company’s stock soared immediately after the announcement but then adjusted down nearly 15% over the week.

Chun believes that corporate CFOs may soon face career risks not for buying Bitcoin, but for ignoring it. “Doing nothing is no longer a justifiable strategy,” he wrote.

According to data from BitcoinTreasuries, publicly traded companies currently hold 665,618 BTC, equivalent to about 3.17% of the total Bitcoin supply. Strategy remains the company with the largest holdings at 506,137 BTC.

Disclaimer: This article is for informational purposes only and is not investment advice. Investors should conduct thorough research before making decisions. We are not responsible for your investment decisions.

• Assessing the weak state of the altcoin market
• Bitcoin aims to reset as the actual loss gap widens.
• The deep decline in Bitcoin’s dominance rate could trigger an altcoin explosion.

Thach Sanh

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