French crypto firms acquire 2,000 BTC in €200M share-swap deal, signaling growing global corporate interest in long-term Bitcoin treasury.
In a major development for the cryptocurrency market, two French-based firms have announced a large-scale Bitcoin acquisition through a strategic partnership with a Turkish exchange. On August 1, Crypto Blockchain Industries (CBI), a company listed on Paris stock exchange and its major shareholder, Ker Ventures, announced that they have agreed with the Turkish exchange platform SAFEbit. According to this agreement, the French companies will be able to obtain up to 2,000 Bitcoins that are currently under the control of SAFEbit in exchange of company shares.
CBI Launches 200M Euro Bitcoin-for-Shares Program
The companies will not use cash for this arrangement. Instead, SAFEbit will give Bitcoins to the French firms and receive CBI shares in return. They will carry out the exchange in phases. Each day, the companies can trade a set number of shares for Bitcoins until they reach the limit of 2,000 BTC. The estimated value of this exchange program on the current market prices is more than 200 million Euros.
This collaboration is a great milestone to CBI since it aims to establish itself as a strong digital asset company. The value of each trade will be based on the daily Bitcoin market value as co-determined by both users. Meanwhile, CBI will value the shares used in the swap based on the two-day VWAP, applying a discount to reflect current market conditions.
The relocation is a part of the wider strategy of CBI that is called ACE: Acquire, Create, and Earn. With the help of this model, the company will be able to purchase Bitcoin at the most favorable price, design new financial contracts, and achieve long-term growth in the value of its digital portfolio. It is also believed that the deal will increase the awareness of CBI and Ker Ventures within the international blockchain and investment community.
SAFEbit, the Turkish digital asset exchange, is one of the country’s leading platforms. Currently, it holds over 2,000 Bitcoins. SAFEbit is spreading its assets and becoming exposed to the European markets through a gradual conversion of its assets into shares of a European-listed entity. This may be a masterstroke given the fact that cryptocurrency regulations are rapidly changing in different geographical areas.
Related Reading: MicroStrategy Expands Series A to $2 Billion to Buy More Bitcoin | Live Bitcoin News
Firms Worldwide Increasing Bitcoin Reserves for Long-Term Strategy
Right now, this agreement is a part of a bigger trend among international companies. Companies in Europe and other parts of the world are gradually shifting towards building their Bitcoin reserves. In a recent report, the UK-based web company Smarter Web has reported that it had bought 225 more Bitcoins. The company now owns more than 2,000 BTC and has indicated that this is one of its 10-Year Plans to accumulate long-term digital reserve.
Other firms such as Strategy (formerly MicroStrategy) and Metaplanet have also acquired large volumes of Bitcoin in the last several months. These events show that the corporations are starting to apply Bitcoin no longer as a speculative instrument but a future reserve option.
To sum up, the transaction between CBI, Ker Ventures, and SAFEbit indicates an increasing confidence in the future of digital currencies. It also demonstrates that companies are getting creative with ways to accumulate Bitcoin holdings without actually spending any cash. This is because in a maturing market, this might actually become more prevalent across industries.
