Despite market challenges and the deferred bill in South Dakota, Strategy continues to grow its Bitcoin reserves, nearing the 500,000 BTC mark.
South Dakota Bitcoin Bill Deferred
Lawmakers in South Dakota effectively deferred a bill, HB 1202, that would have allowed the state to invest up to 10% of public funds in Bitcoin. This deferral to the 41st day of the session effectively halted its progress this year. State Representative Logan Manhart plans to reintroduce the bill in 2026. Similar attempts have been unsuccessful in North Dakota and Wyoming, although several states like Florida are still considering Bitcoin-related legislation.
Strategy's New Bitcoin Acquisitions
Strategy boosted its reserves by purchasing 20,356 BTC for $2 billion, bringing its total to 499,096 BTC. This follows a successful $2 billion convertible note offering. Strategy is executing on its '21/21 Plan' to raise $42 billion. Despite reporting a $670 million net loss in Q4 2024, the firm remains committed to its aggressive Bitcoin strategy.
Bitcoin Faces Negative February
Bitcoin is set for its first negative February since 2020, failing to hold above $95,000. Market weakness is compounded by institutional reluctance and investor outflows, making it unlikely for Bitcoin to reach new highs shortly.
Ongoing accumulation strategies by major firms and legislative initiatives show a continuing belief in the potential of cryptocurrencies, despite temporary market challenges.
