- Trump’s cabinet picks highlight a strong pro-Bitcoin stance shaping U.S. policy.
- Strategy plans $4.2B raise to expand its record-breaking Bitcoin holdings.
- Political power and corporate Bitcoin accumulation now move in closer alignment.
The intersection of political power and Bitcoin accumulation is growing more apparent. Strategy, led by Michael Saylor, plans to raise $4.2 billion through a stock offering to purchase more Bitcoin. This move coincides with the Trump administration’s appointment of several pro-crypto figures across key cabinet and agency positions. The developments mark a potential shift toward a crypto-aligned economic strategy driven by political leadership.
The current administration includes prominent digital asset supporters such as President Donald J. Trump, Vice President J.D. Vance, and SEC Chairman nominee Paul Atkins. Also appointed are David Sacks as AI and Crypto Czar and Brian Quintenz as the CFTC Chairman nominee. These appointments reflect a concerted alignment of crypto-focused leadership within federal institutions.
Pro-Crypto Cabinet Appointments Signal Policy Shift
The White House Campaign (the White House) has underscored cryptocurrency as the centerpiece of its economy by designating ideal placements. Robert F. Kennedy Jr. (a well-known Snowden supporter of Bitcoin) got his appointment as the Health and Human Services Secretary. Tulsi Gabbard, a former Representative, gets the position of Director of National Intelligence, Howard Lutnick steps into the directorship of Commerce, and Kash Patel takes the leadership of the FBI.
In the Crypto Policy Report produced by the administration, plans are specified to modernize taxation legislation involving digital money. It suggests that digital assets should be regarded as a new kind of finance under modified securities laws and commodities. The report also urges further guidance on issues such as CAMT and de minimis digital asset receipts.
It also promotes the application of wash-sale rules and aims to reduce compliance burdens. The policy goals suggest coordinated efforts to improve transparency and reduce regulatory uncertainty for investors and companies alike.
Strategy Seeks Capital to Expand Bitcoin Holdings
Strategy filed with the SEC to offer up to $4.2 billion in STRC preferred stock. The proceeds will support further Bitcoin purchases and general corporate operations. This is after the company raised the capital through the $2.521 billion IPO, where it purchased 21,021 BTC, which has increased its stock to 628,791 BTC.
The Bitcoins in possession of the company are currently worth $46.8 billion, with an average purchase price of $73,227 each. The offerers have included the major financial institutions, such as TD Securities, Barclays Capital, and Morgan Stanley. It has a recent price of 94.50 per share, which is traded on the Nasdaq.
Strategy has not confirmed a start date for the offering, which will proceed without a fixed schedule. Its constant investment strategy signifies a long-term belief in the promise of Bitcoin. The company pointed out that the specific amount of spending on future purchases it may take is not yet determined.
Related: Trump to Host First-Ever Crypto Summit at the White House
Accounting Practices Highlight Bitcoin’s Market Impact
Strategy adopted fair value accounting to reflect real-time fluctuations in its Bitcoin valuation. The second-quarter report shows operating revenue of $14.03 billion, with most of that attributed to unrealized Bitcoin gains. The firm’s Bitcoin per Share (BPS) increased by over 25% in the first half of the year.
According to the CEO of Strategy, the company has raised over $10 billion this year through offerings such as STRK, STRF, STRD, and STRC. Further, the approach represents strategic leverage to enhance Bitcoin exposure while maintaining shareholder engagement.
The company projects a 30% gain in Bitcoin and an additional $20 billion in unrealized asset growth by 2025. This goal aligns with its expanded fundraising plans and Bitcoin accumulation strategy amid a favorable political backdrop.
