Bitcoin News: One in Four S&P 500 Firms Could Hold Bitcoin by 2030, Says Crypto Advisory Executive
A growing number of major U.S. corporations may soon follow the footsteps of Tesla and Strategy (MSTR) by adding Bitcoin (BTC) to their balance sheets. According to Elliot Chun, partner at tech-focused financial advisory firm Architect Partners, 25% of S&P 500 companies could hold Bitcoin by 2030, driven by both innovation and fear of missing out on potential returns.“I anticipate that by 2030, a quarter of the S&P 500 will have BTC somewhere on their balance sheets as a long-term asset,” Chun wrote in a blog post published on March 28.Chun believes treasury managers will feel pressured to adopt a Bitcoin strategy, fearing potential job security risks if they fail to explore this growing asset class. “If you tried it and it worked, you’re a genius. If you tried it and it didn’t work, at least you tried. But if you didn’t try and have no good reason, your job may be at risk,” he explained.MSTR Leads the Way, GameStop May Join the ListCurrently, Strategy (MSTR) remains the largest public corporate Bitcoin holder, with over 500,000 BTC on its books. Other notable S&P 500 Bitcoin holders include Tesla and Block, but according to Chun’s forecast, another 123 firms would need to follow suit over the next five years for his prediction to come true.GameStop (GME) recently announced a $1.3 billion convertible note offering, intending to use the proceeds to purchase Bitcoin — potentially making it the next high-profile corporate buyer.Bitcoin Treasury Strategy: Hype vs. Long-Term PlayWhile the market has rewarded companies adopting Bitcoin — MSTR's stock has surged over 2,000% since its first BTC purchase in August 2020 — Chun warns against companies expecting to replicate that success.“Companies who are implementing this strategy in hopes of replicating MSTR’s performance are positioning for disappointment,” he said, noting that MSTR’s timing and unique position made it a “one-of-one” case.Bitcoin vs. Gold: The Treasury Asset DebateChun also argued that Bitcoin is more efficient than gold as a treasury asset, calling it a GAAP-recognized tangible asset that is both fungible and liquid — unlike the logistical and storage challenges associated with gold bars.Although the SEC’s approval of spot Bitcoin ETFs in January 2024 expanded access for institutional investors, Chun emphasized that Bitcoin remains an “unproven” treasury strategy, particularly for firms using it solely as a hedge against inflation or currency devaluation.Still, optimism is running high among tech leaders. Analysts and executives like Cathie Wood (ARK Invest), Mike Novogratz (Galaxy Digital), Brian Armstrong (Coinbase), and Jack Dorsey (Block) have all forecast Bitcoin prices ranging from $500,000 to $1 million by the end of the decade.As corporate interest rises, Bitwise recently launched the Bitcoin Standard Corporations ETF, tracking companies holding at least 1,000 BTC — further reinforcing the narrative that Bitcoin could become a mainstream treasury asset within the next five years, according to Cointelegraph.
