China's largest Bitcoin reserve company plans to sell $500 million worth of stock and may hoard over 2,000 BTC.

Next Technology Holding (NASDAQ: NXTT), the largest enterprise-level Bitcoin asset management company in China, is considering selling common stock worth up to $500 million, planning to use part of the funds for the acquisition of more Bitcoin (BTC). If the plan is realized, the company's holdings are expected to exceed 8,000 coins, further enhancing its position in the global Bitcoin asset landscape.

Plan details: $500 million financing, some direct investment in Bitcoin

(Source: BitcoinTreasuries)

Next Technology stated in a filing submitted to the U.S. Securities and Exchange Commission (SEC) that the proceeds from this stock issuance will be used for “general corporate purposes, including but not limited to the acquisition of Bitcoin.”

According to data from BitcoinTreasuries.NET, the company currently holds 5,833 BTC, valued at approximately $671.8 million, ranking it as the 15th largest Bitcoin fund company in the world, above KindlyMD, Semler Scientific, and GameStop.

Even if only half of the financing amount (about 250 million USD) is used for coin acquisition, it can still acquire about 2,170 BTC at the current price, bringing the total holdings to over 8,000 coins.

Global listed companies' “Coin Hoarding Trend” continues to heat up

Next Technology's actions are a microcosm of global publicly listed companies accelerating their allocation of Bitcoin assets. Currently, 190 publicly listed companies hold BTC on their balance sheets, while this number was less than 100 at the beginning of this year.

At the beginning of this month, these companies held a total of over 1 million BTC, accounting for about 5% of the circulating supply of Bitcoin.

Strategy founder Michael Saylor continues to lead, holding nearly 639,000 BTC. Public companies have begun raising funds to acquire coins through equity financing, convertible bonds, preferred shares, and even SPACs (Special Purpose Acquisition Companies), becoming a new trend in the market.

Stock prices are under short-term pressure, but long-term returns are considerable

(Source: Google)

After the announcement, NXTT's stock price closed down 4.76% to $0.14 on September 15, and fell an additional 7.43% in after-hours trading.

However, since the first purchase of 833 BTC in December 2023 and the additional purchase of 5,000 BTC in March 2024, the company's Bitcoin holdings have recorded a 266.7% unrealized gain (average cost of $31,386).

Flexible strategy with no coin holding limit

Next Technology stated that it will determine the pace of coin acquisition by “monitoring market conditions” and has not set a clear holding target.

This contrasts with companies like Metaplanet and Semler Scientific, which have set long-term goals of accumulating 210,000 BTC (1% of supply) and 105,000 BTC (0.5% of supply) by the end of 2027, respectively.

Conclusion

Next Technology's $500 million stock issuance plan, if a considerable proportion is invested in Bitcoin, will further solidify its position as China's largest Bitcoin asset management company, and will also drive the global trend of listed companies “hoarding coins” to continue to heat up. The market will closely monitor its financing progress and coin purchasing rhythm, as this not only affects the company's market value but may also have a substantial impact on the supply and demand pattern of the Bitcoin market.