Outside Source
Bitcoin miner Hut 8 launched an at-the-market and stock repurchase program to finance its corporate strategic BTC reserve.
Hut 8’s ATM initiative aims to raise $500 million for its Bitcoin (BTC) treasury and $250 million to fund stock buybacks, per a Dec. 4 press statement. The firm’s CEO, Asher Genoot, stated that Hut 8’s decision will allow the miner to weather volatile markets and bolster its balance sheet with the world’s leading digital asset.
According to Genoot’s remarks, net proceeds from the ATM program have also been designated for expanding Hut 8’s mining infrastructure and data centers.
We believe the capital market updates announced today send a clear message to shareholders: our key investors continue to believe in us, and the flexibility provided by the ATM Program and Stock Repurchase Program strengthens our ability to pursue ambitious growth objectives with confidence while maintaining a relentless focus on driving sustainable shareholder returns.
Asher Genoot, Hut 8 CEO
Since MicroStrategy introduced the concept, stock sales and issuing securities are fast-growing trends among crypto-savvy institutions. MicroStrategy executive chairman Michael Saylor secured loans and raised capital to buy Bitcoin, spurring other firms to leverage the idea.
Firms across the U.S. and Asia, like Hut 8 and Metaplanet, have hopped on the bandwagon, growing respective reserves domiciled in the trillion-dollar crypto asset.
More Bitcoin miners have also announced strategic BTC reserves, adding to existing holdings generated through massive computing facilities.
Marathon Digital Holdings held $3.3 billion in BTC following its latest top-up disclosed on Nov. 27. The BTC miner offered a $1 billion convertible note sale, spending over $67 million on crypto buys while holding $160 million in reserve for additional purchases.
Policymakers and BTC supporters also encouraged the U.S. federal and state governments to create strategic crypto stockpiles. Satoshi Act Fund founder Dennis Porter claimed that some 10 U.S. states could soon pass laws to establish reserves, even before President Donald Trump makes good on his promise.
This article first appeared at crypto.news
