Strategy Double Up

MicroStrategy aims to establish the largest corporate Bitcoin treasury, surpassing even the vast cash reserves managed by Warren Buffett.

CEO Michael Saylor confirmed investor interest, stating the company could collectively own 3-7% of the total Bitcoin supply, significantly boosting its already substantial 628,791 BTC holding valued around $8.5 billion currently.

To reach this ambitious target, MicroStrategy plans a follow-on preferred stock offering worth $4.2 billion. The ultimate goal is a Bitcoin treasury valued at least $141 billion, achievable if Bitcoin appreciates substantially, potentially hitting $225,000 by the end of 2026.

Metaplanet’s Bitcoin Orbit

Competition for record corporate Bitcoin holdings intensified as Japanese broadcaster Metaplanet announced a $3.7 billion capital raise via a perpetual preferred stock offering aimed at purchasing Bitcoin.

This funding strategy mirrors MicroStrategy’s approach, and Metaplanet’s stated goal is to hold 210,000 BTC by the end of 2027, a twelvefold increase from current holdings.

Analysts noted Metaplanet’s significant stock price surge (up 313% year-to-date) is linked to this Bitcoin investment strategy, despite its shares dropping nearly 8% on the news due to potential profit-taking and skepticism about targets being met swiftly.

If achieved, Metaplanet could rival MicroStrategy as Bitcoin’s second-largest corporate holder, having exceeded gold holdings previously but falling short of current Bitcoin treasury ambitions.

Coinbase Runs Out of Alt Gas (But XRP Is Now Leading Transactions)

Coinbase reported a 25% revenue decline, missing analyst expectations by $150 million in Q2, bringing its total revenue for the first half of the year to just under $3 billion.

Despite overall NFT activity slowing from its peak during “alt season,” a notable shift occurred in transactional revenue drivers: XRP revenue overtook Ethereum, generating 13% of total consumer transaction revenue compared to Ethereum’s 12%.

Despite the earnings miss and a subsequent decline in its stock price and immediate-term technical indicators (like the Coinbase Momentum ETF), analysts from Bernstein downplayed immediate portfolio concerns.

They view Q2 as insignificant (“the quarter that doesn’t matter”) and point to “improving crypto market structure and width” and strategic partnerships (JP Morgan highlighted) as catalysts for improved trading volumes and future earnings potential, suggesting Coinbase could potentially reach an $510 price target.

Other Keys

• Robinhood vs Tokenization Controversy: Robinhood CEO Vlad Tenev acknowledged the ongoing debate surrounding its customer stock token program during earnings, though revenue grew significantly (45% year-over-year). The company recently stated it would pay a finder’s fee for employees participating in Perpetual’s program.
• MARA & AI Conversation: Analyst Ed Engel suggested Bitcoin miner Marathon Digital (MARA) was repeatedly missing the financial news cycle by not fully diversifying away from pure Bitcoin mining, deflecting broader interest in high-performance computing (HPC) and AI, which rivals like Nvidia are dominating.