Coinbase hints at treasury plans with weekly Bitcoin buying strategy

Coinbase Ceo Brian Armstrong revealed that the exchange is constantly gaining Bitcoin Weekly signaling what many believe could be an early phase of efforts to build a state treasury.

Armstrong Shared Update 27th June, with the fact that Coinbase has accepted the strategy of “long bitcoins”. However, it ceased to confirm whether these acquisitions were explicitly intended to create a corporate bitcoin reserve.

The announcement comes shortly thereafter Bitcoin magazine CEO David Bailey publicly encouraged Coinbase to create a formal Bitcoin box office.

Does Coinbase accept a bitcoin treasury?

While Armstrong did not publish the scope or purpose of weekly purchases, timing has caused speculation that the company can approach the border of companies as Strategy (formerly Microstrategy)that perfectly transformed a significant part of his balance sheet into bitcoins.

This would mean a surprising development, given that Coinbase had previously resisted all-in on bitcoins.

Armstrong before he admitted That the company was discussing the assignment of the main part of its balance sheet on bitcoins, but eventually decided. At that time, the executives believed that this step was too risky and could destabilize the company’s finances during their earlier growth phases.

However, recent steps in the corporate world suggest that sentiment can change. Several American companies, including Trump Media and Technology Group, Semler Scientific and Gamesop took steps to Integrate bitcoins into your financial strategies.

However, market observers warned that the growing number of companies involving this strategy is a significant risk for industry.

In recent messageDavid Duong, Head of Coinbase Research, warned that this could create a structural imbalance on the market.

According to him, as more public companies in the stock of bitcoins, volatility could increase for participating companies and the whole crypto ecosystem. And if these large holders are forced to sell under market pressure, this could cause the ripple effects across trading platforms and investors portfoli.

New Ath

Discussion about Bitcoin’s treasures comes when the supply of coins of cryptocurrency increased sharply to a new maximum $ 369.21, a level that was not seen since its peak of November 2021.

Remarkable is that trading after hours has moved the value of shares even higher to $ 375.25, according to Google’s finance data.

In the US, this milestone will cope with the wider Sentiment of Pro-Krypto in the US, where investors have become more and more turned to digital assets and crypto related to shares as ensuring global instability.

As investors’ interest in exposure to the market crypto is growing, interest in companies such as Coinbase, which offers indirect exposure without volatility of direct tokens.

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