Publicly traded companies’ Bitcoin holdings rose 31% in 14 months to reach 1.3 million BTC, but the fact that 71% of the growth came from Strategy alone raises questions about how widespread institutional demand really is.
Data shared by CryptoQuant on October 28 show that the amount of Bitcoin on corporate balance sheets continues to grow. However, the distribution behind the total looks different from a picture in which many companies are accumulating Bitcoin at the same pace.
Strategy accounts for most of the growth in Bitcoin accumulation
Strategy accounted for 71% of the increase in publicly traded companies’ total Bitcoin holdings over the past 14 months. The other companies accounted for just 29% combined. These figures show who drove the growth during the period, not the ownership distribution of the current 1.3 million BTC.
This is also a critical point when it comes to the spread of the strategy of holding Bitcoin in corporate treasuries: While total holdings are growing, most of the new demand is concentrated in a single buyer.
Other companies are buying less and selling more
CryptoQuant says that companies other than Strategy are buying less Bitcoin, selling more, and seeing limited new entrants among companies accumulating Bitcoin. For this reason, the platform cautions against interpreting the overall growth as a broad-based resurgence in companies’ interest in Bitcoin.
The distinction highlighted by the data is between the total amount held by companies accumulating Bitcoin and the diversity of buyers contributing to that growth. The 1.3 million BTC figure shows the scale of holdings, while Strategy’s outsized share of the increase suggests that demand rests on a narrow base.
Not investment advice.