With growing interest from institutional investors and regulatory changes, Bitcoin is gradually becoming a strategic asset for companies.
Changes in U.S. Accounting Rules
Changes in accounting regulations in the U.S. introduced in 2023 have spurred institutional interest in Bitcoin. The FASB update improved how companies can report Bitcoin, setting the stage for widespread adoption in 2024 and beyond.
Institutional Interest in Bitcoin
Many institutional investors are gradually turning to Bitcoin-linked equities and corporate debt as a workaround to strict investment mandates. Expert Alden notes: "Billions in capital are managed under rules that forbid direct crypto purchases. But if a stock or bond holds Bitcoin, that becomes a viable path."
The Future of Bitcoin in Corporate Finance
The rise of so-called Bitcoin treasury companies, which not only hold Bitcoin but leverage it through long-term bond issuance, is also accelerating this trend. Alden emphasizes that this kind of leverage has proven more durable, especially in volatile markets. She believes that as Bitcoin's role in corporate finance expands, it becomes harder to dismiss: "Whether you’re an individual investor or a boardroom executive, ignoring Bitcoin is no longer an option."
Bitcoin is becoming an integral part of corporate finance as a strategic asset, and its influence on companies' financial strategies continues to grow.