The Blockchain Group, a tech consulting firm based in France, announced on May 26 that it has completed convertible bond issuances totaling €63.3 million (US$72 million).

The funds will be used to purchase about 590 more bitcoin, increasing its total holdings to over 1,400 BTC.

In March, the company added 580 bitcoin to its treasury, marking its largest purchase since adopting its bitcoin-focused strategy.

According to data from Euronext, The Blockchain Group’s share price has more than doubled since it began accumulating bitcoin.

The firm also plans to continue developing the operational activities of its subsidiaries while pursuing this strategy.

🔗 Source: The Block

🧠 Food for thought

1️⃣ Corporate Bitcoin accumulation increasingly funded through debt instruments

The Blockchain Group’s €63.3 million bond issuance represents a growing trend of companies using debt to finance Bitcoin acquisitions rather than using existing cash reserves.

This approach mirrors Strategy’s (formerly MicroStrategy) financing model, which has used preferred stock offerings worth $21 billion to build its position of 580,250 BTC valued at $63 billion 1.

Companies are specifically structuring convertible bonds and other debt instruments for Bitcoin acquisition, with The Blockchain Group previously issuing a €48.6 million convertible bond partially subscribed directly in Bitcoin 1.

This debt-financed acquisition strategy allows companies to maintain operational liquidity while building Bitcoin positions, though it introduces financial leverage risks if Bitcoin’s value decreases significantly.

The scale of these financing activities has grown substantially, with multiple public companies now holding Bitcoin treasuries worth billions of dollars collectively 2.

2️⃣ Market rewards Bitcoin treasury strategies despite volatility concerns

The Blockchain Group’s share price doubling since adopting its Bitcoin strategy reflects a pattern seen across companies implementing similar approaches.

Metaplanet saw its stock surge 19% following its latest Bitcoin acquisition announcement, demonstrating strong market enthusiasm for corporate Bitcoin holdings despite the underlying asset’s volatility 1.