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Today, enjoy the Empire newsletter on Blockworks.co. Tomorrow, get the news delivered directly to your inbox.\u00a0<\/em>Subscribe to the Empire newsletter<\/em><\/a>.<\/em><\/p>\n If you bought the bitcoin dip, you\u2019re definitely not alone.<\/p>\n At least six companies \u2014 five of which are publicly traded \u2014 have snapped up bitcoin following its all-time high in March.<\/p>\n MicroStrategy, Block, Metaplanet<\/a>, Semler Scientific<\/a>, OneMedNet<\/a> and soccer team Real Bedford FC<\/a> \u2014 owned by Bitcoin podcaster Peter McCormack \u2014 altogether bought an estimated 48,836 BTC in that period.<\/p>\n They probably paid about $3.09 billion for that stash, which would now be worth closer to $3.1 billion.<\/p>\n And OK, MicroStrategy is relentless. The data intelligence firm was responsible for 97% of the bitcoin bought by those corporations since bitcoin\u2019s recent top, leaving the others to spend roughly $92.7 million on stacking sats.<\/p>\n Bitcoin retraced as much as 27% as markets consolidated \u2014 from almost $73,740 to $53,900.\u00a0<\/p>\n It\u2019s not totally possible to determine the exact purchase price in many instances. Still, the data suggests they probably spent in the region of $63,250 per coin.<\/p>\n But publicly-listed companies have been buying bitcoin for over four years now.\u00a0<\/p>\n Since MicroStrategy bought its first BTC in August 2020 (after then-CEO Michael Saylor sold<\/a> the Voice.com domain to EOS issuer Block.one for $30 million), at least fifteen different companies have added bitcoin to their balance sheets.<\/p>\n (The real figure is actually somewhat higher. Fifteen is the number of bitcoin-buying companies that aren\u2019t specifically related to bitcoin mining or digital asset management<\/em>, that have also disclosed the dates of their purchases to date \u2014 which allows us to see a cost basis on BitcoinTreasuries.net<\/a>.)<\/p>\n The chart above plots every bitcoin purchase disclosed by companies against the price of bitcoin, from Latin America ecommerce giant MercadoLibre<\/a> to South Korean video game publisher Nexon<\/a>.\u00a0<\/p>\n However, it doesn\u2019t show the 33,480 BTC ($2.1 billion) sold by Tesla between April 2021 and July 2022 \u2014 around 75% of its stash \u2014 and some are positioned at estimated times due to unspecified disclosures.<\/p>\n It includes estimated buys for Block\u2019s new dollar-cost averaging strategy, which sees the Jack Dorsey-founded fintech firm direct 10% of its gross bitcoin-related profits from Cash App into BTC purchases every month.<\/p>\n Block reported<\/a> $67 million bitcoin-related gross profit in Q2 2024, which averages out to 22.3 million per month. If its gross profits remain steady, Block is buying something like $2.2 million in bitcoin each month \u2014 about 34.6 BTC at current prices.<\/p>\n All told, the rate of individual bitcoin purchases from corporations is increasing: At least 32 so far this year compared to nine in all of 2023, eight in 2022, 20 in 2021 and five in 2020.\u00a0<\/p>\n Of course, many more from El Salvador<\/a> and various crypto funds and ETFs, and even ones that haven\u2019t been publicly disclosed. Bitcoin bulls have company.<\/p>\n \u2014 David Canellis<\/em><\/p>\n Binance co-founder Changpeng Zhao is a free man.\u00a0<\/p>\n Zhao was released Friday from US federal custody after a four-month prison sentence.\u00a0<\/p>\n In typical CZ fashion, one of the first things that the billionaire did was take to X with a simple \u201cgm\u201d post.<\/p>\n As for what\u2019s next, the former executive gave a sneak peek into his plans and \u2014 to no one\u2019s surprise \u2014\u00a0he isn\u2019t going back to Binance. But that\u2019s to be expected, given that part of Zhao\u2019s 2023 plea deal bars him from operating or managing Binance for three years after the appointment of a monitor.<\/p>\n During his stay in a California correctional facility, Binance actually appointed two monitors. We reported in June<\/a> that the exchange confirmed that the infamous Sullivan & Cromwell was on board, alongside Forensic Risk Alliance.<\/p>\n As part of the November 2023 plea deal<\/a>, the billionaire also paid a $50 million fine and pled guilty to a money laundering charge on top of stepping down as CEO.\u00a0<\/p>\n But even with that caveat, CZ seems to be happy with how new CEO Richard Teng\u2019s handling the exchange.\u00a0<\/p>\n CZ noted: \u201cOh, Binance seems to be doing well without me back-seat-driving, which is excellent. Every founder\u2019s dream!\u201d\u00a0<\/p>\n So what\u2019s next for Zhao? He plans to \u201cchill for a bit\u201d but that won\u2019t stop him from once again being an active player in crypto. Though, it seems he\u2019ll be taking an entirely new role.\u00a0<\/p>\n Zhao hinted at investing, highlighting that he\u2019s interested in blockchain and decentralized tech, alongside artificial intelligence. While those areas aren\u2019t new to Zhao, coming in as just<\/em> an investor would be.\u00a0<\/p>\n \u201cI am a long term investor who care about impact, not returns,\u201d Zhao said.\u00a0<\/p>\n He also plans to dedicate \u201cbig part of my life\u201d to Giggle Academy, a nonprofit online education platform. Zhao announced the project in March, before his April sentencing, saying that it would provide a free education from first grade to 12th grade.\u00a0<\/p>\n \u201cI will also dedicate more time and funding to charity (and education). I have some rough ideas,\u201d he added.\u00a0<\/p>\n As for Zhao\u2019s book? He\u2019s almost done with it, according to the X update.\u00a0<\/p>\n \u201cWriting a book is a lot more work than I anticipated, but will see this one through,\u201d he said. A book was another tease Zhao made before serving his sentence.\u00a0<\/p>\n Zhao\u2019s release, which came on the heels of former Alameda CEO Caroline Ellison\u2019s sentencing<\/a>, represents yet another closed chapter in crypto\u2019s own book as we move on from the last era into an entirely new cycle.\u00a0<\/p>\n And while the main characters are forever changing, it seems that Zhao plans to continue to take part, just perhaps in a smaller role.<\/p>\n \u2013 Katherine Ross<\/em><\/p>\n Q: Japan is <\/em>reportedly<\/em><\/a> going to review its crypto oversight rules, paving the way for ETFs. Does this mean that Mt Gox is fully in the rearview mirror?\u00a0<\/em><\/p>\n I think it signals that times are certainly changing. But, as I wrote above, so does everything. Crypto is evolving and it\u2019s in a very different place than it was when Mt. Gox happened\u2026obviously.\u00a0<\/p>\n Japan, which has been pretty strict when it comes to crypto, might be seeing the writing on the wall and is trying to pay attention to investor demand. Love or hate crypto, no one can ignore the immense success of the bitcoin ETFs in the US.\u00a0<\/p>\n Not to mention that some Japanese firms have already shown their interest in crypto. On a smaller scale, we have Metaplanet adopting MicroStrategy\u2019s strategy and buying up bitcoin. On the opposite end, you have Sony \u2014 which has a market cap of $124 billion \u2014 announcing its own blockchain initiative<\/a>.<\/p>\n A Japan that\u2019s friendlier to crypto could be just another sign that crypto\u2019s here to stay.\u00a0<\/p>\n \u2013 Katherine Ross<\/em><\/p>\n When Japan first wrote its rules back in 2015-2016, one of the (at the time historic) components was the classification of bitcoin and other \u201cvirtual currencies\u201d as payment instruments.\u00a0<\/p>\n Now, according to Bloomberg, Japan\u2019s review might redefine crypto as a financial instrument \u2014\u00a0thus, allowing for products to be created around them.<\/p>\n This change would be a big deal, and indicative that the times changed long ago. Once-mighty aspirations for bitcoin and other digital assets to be, primarily, engines for payments have gone the way of the dodo.\u00a0<\/p>\n Sure, maybe some folks are out there swiping their apps to pay with BTC, but more often than not, they\u2019re investing, HODLing, etc.<\/p>\n Japan\u2019s rules were an early example of how a government might monitor the then-novel world of cryptocurrencies \u2014\u00a0a process shaped by the close-to-home collapse of Mt Gox. Now, Japan seems on the cusp of catching up with the rest of the world.\u00a0<\/p>\n \u2013 Michael McSweeney<\/em><\/p>\n Start your day with top crypto insights from David Canellis and Katherine Ross. Subscribe to the Empire newsletter<\/a>.<\/strong><\/p>\n Explore the growing intersection between crypto, macroeconomics, policy and finance with Ben Strack, Casey Wagner and Felix Jauvin. Subscribe to the Forward Guidance newsletter<\/a>.<\/strong><\/p>\n Get alpha directly in your inbox with the 0xResearch newsletter<\/a> \u2014 market highlights, charts, degen trade ideas, governance updates, and more.<\/strong><\/p>\n
\nMicroStrategy, macro impact<\/h2>\n
Data Center<\/h2>\n
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The return of CZ<\/h2>\n
The Works<\/h2>\n
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The Riff<\/h2>\n
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