What happened?
DigitalX, an Australian digital asset manager, has received a strategic investment of AU$20.7 million ($13.5 million) from major global crypto players, including Animoca Brands, UTXO Management, and ParaFi Capital. This funding will be used to expand DigitalX’s Bitcoin treasury, aligning with their Bitcoin-first strategy. Upon completing this expansion, DigitalX’s total assets, primarily in Bitcoin, will surpass AU$95 million ($62.13 million).
Who does this affect?
This development affects DigitalX stakeholders, including its shareholders, clients, and potential investors interested in the company’s strategic focus on Bitcoin. It also impacts key industry figures like Yat Siu, co-founder of Animoca Brands, and Hervé Larren, CEO of Airvey.io, as they join DigitalX’s advisory board to guide its Bitcoin strategy. Additionally, it could influence other firms within the crypto sector as they observe DigitalX’s growing focus on Bitcoin investments.
Why does this matter?
This strategic move by DigitalX could significantly impact the market by solidifying its position as a prominent Bitcoin holder, potentially influencing Bitcoin’s market dynamics. The involvement of renowned investors like Animoca Brands may boost market confidence in DigitalX’s approach and encourage similar investments in Bitcoin-focused strategies. Additionally, the increase in DigitalX’s Bitcoin holdings to over $95 million in assets highlights growing institutional interest and support for Bitcoin as a valuable asset class.