Adam Back reveals hotel chain strategy for Bitcoin acquisition
@adam3us: Adam Back on Bitcoin strategy
Adam Back, a prominent figure in the cryptocurrency space, has shared insights into a unique strategy employed by a hotel chain in Japan. According to Back, the hotel chain holds Bitcoin and benefits from a low cost of capital, allowing them to leverage a substantial tax arbitrage in Japan.
This strategic position enables the chain to sell shares through at-the-market (ATM) transactions, issuing moving-strike-warrants, which are effectively used to purchase additional Bitcoin. By capitalizing on these financial maneuvers, the hotel chain not only commands a premium in its market but also continues to expand its Bitcoin holdings, further enhancing its asset portfolio.
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The hotel chain’s approach reflects broader trends observed in Japan’s financial sector, resembling strategies seen as Metaplanet advances in the Japanese stock market, as detailed in Adam Back’s coverage of the company nearing its stock price limit. These developments, coupled with the forward-looking adoption of technology—such as the preparations for a quantum computing era within crypto addresses—underscore the increasingly sophisticated interplay between traditional business models and digital assets.
In the previous news, tweet author Adam Back discussed Bitcoin's role in the macroeconomic landscape.
