In an exciting development within the cryptocurrency landscape, a prominent Dutch firm has announced its intention to establish a Bitcoin treasury entity, signaling a significant shift towards broader adoption of digital currencies in Europe.
Amdax Establishes AMBTS B.V.
Amdax, a leading provider of cryptocurrency services in the Netherlands, has made headlines with its revelation of AMBTS B.V. This new venture aims to strategically invest in Bitcoin, and the company is actively preparing for an initial public offering (IPO) on Euronext Amsterdam, a major European stock exchange.
The objective of AMBTS is not just to dabble in Bitcoin but to accumulate substantial holdings of BTC by targeting as much as 1% of the total Bitcoin supply. To reach this ambitious goal, the company is set to attract investments from private entities in a phased approach.
Currently, acquiring 1% of the Bitcoin supply—approximately 210,000 BTC—would necessitate around $24 billion at existing market values. Notably, only a few entities like MicroStrategy currently hold over 1% of the total Bitcoin supply, underscoring AMBTS’s audacious target.
The attractiveness of Bitcoin lies in its relative independence from traditional investment assets, making it appealing to institutional investors. Factors such as ongoing inflation, political uncertainties, and clearer regulatory guidelines have amplified Bitcoin’s attractiveness, resulting in a notable upswing in its price.
As outlined by Amdax, the funds generated from its initial investment round will be strategically funneled into kickstarting the acquisition of Bitcoin, which is anticipated to enhance the company’s overall valuation as the cryptocurrency market evolves.
Since its inception over five years ago, Amdax has strived to be at the forefront of cryptocurrency services in the Netherlands. In 2020, the firm made history as the first Dutch crypto company to receive licensing from the Dutch Central Bank (DCB). Amdax’s CEO, Lucas Wensing, remarked on this latest initiative:
“As Bitcoin continues to outperform other major assets over the last decade, we are witnessing its rapid integration into investment strategies. With corporations now holding over 10% of Bitcoin’s total supply, we believe it’s the perfect moment to launch a Bitcoin treasury initiative aiming for a listing on Euronext Amsterdam.”
Increasing BTC Acceptance Across Europe
Initially, European companies were somewhat cautious regarding Bitcoin. However, the narrative is changing significantly. A conducive regulatory framework, coupled with increased institutional engagement in the U.S., has fostered a more accepting environment for digital currencies in Europe.
For example, The Smarter Web Company, a UK-based firm, recently reported a boost in its cryptocurrency assets, bringing its holdings to 1,825 BTC following a purchase of an additional 225 BTC. Similarly, Satsuma Technology, another UK firm, successfully raised $135 million to amplify its Bitcoin investments.
In a further testament to this growing trend, Norway’s sovereign wealth fund has revealed a staggering 192% year-on-year increase in its indirect exposure to Bitcoin, indicating that BTC is becoming a staple in European institutional investment portfolios. Presently, Bitcoin is trading at $116,100, reflecting a slight decline of 1.8% over the past day.
