Parataxis Launches Bitcoin Treasury in South Korea
Parataxis Holdings, an affiliate of Parataxis Capital Management, is establishing a Bitcoin-native treasury platform in South Korea's public market. This follows a ₩25 billion (approximately $18.5 million) investment in Bridge Biotherapeutics, a publicly traded biotech company.
Parataxis Korea: A Bitcoin Treasury Vehicle
After the acquisition, Bridge Biotherapeutics will be renamed Parataxis Korea and function as a treasury vehicle, providing institutional investors with exposure to Bitcoin (BTC). This move is driven by the increasing global interest in Bitcoin treasury strategies, as seen in companies like Strategy in the US and Metaplanet in Japan. Parataxis views South Korea as a key market in expanding Bitcoin adoption.
Andrew Kim, Partner at Parataxis Capital, highlighted the firm's commitment to responsible corporate governance and disciplined capital management while facilitating institutional Bitcoin access. This launch is particularly notable given the current ban on Bitcoin ETFs and institutional crypto investments in South Korea.
South Korea's Evolving Crypto Landscape
While restrictions remain, the Financial Services Commission (FSC) has permitted 3,500 corporations and professional investors to open "real-name" accounts in a pilot program designed to gradually introduce institutional digital asset investments. This initiative paves the way for increased BTC adoption in the region.
Parataxis's announcement comes on the heels of its plans for a $200 million public listing via a SPAC merger and amidst growing corporate Bitcoin adoption. Over 237 public companies now hold Bitcoin on their balance sheets, representing roughly 3.96% of the total BTC supply.
Market Reaction and Stock Performance
Bridge Biotherapeutics' stock surged over 20% following the acquisition announcement, despite its overall year-to-date decline. Similarly, Pri0r1ty Intelligence Group, a London-based AI firm, saw its stock rise over 84% after announcing plans to use Bitcoin as a reserve asset. In contrast, GameStop experienced a 22% drop after increasing its convertible note offering, sparking speculation of further crypto investments. These varied responses highlight the market's dynamic reaction to corporate Bitcoin adoption strategies.
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