I know, I know, absolutely nobody wants to hear about this schmuck. But it is Forbes, and it is a cover, so I'm at least obliged to read it -- and thus, take you along with me for the ride.
"Bitcoin Magazine publisher David Bailey believes he can turn a tiny Utah healthcare clinic into the Berkshire Hathaway of bitcoin. The stock market isn’t buying it"
Yeah, that's putting it mildly... how's that all-time low share price treatin' yah??
“I’ve been too busy getting my ass kicked in the stock market,” [Bailey] says, referring to the firm’s share price that has plummeted from $25 to 92 cents in six months.
Also, this is poorly phrased/an error:
Wall Street doesn’t think much of Bailey’s plan. After peaking near $35 in May, NAKA spent most of October under $1 and at a 98% discount to the 5,765 bitcoin it holds on its balance sheet.
NAKA is currently trading at 0.73 mNAV, i.e., about a 27% discount to the bitcoin they (don't!) hold. (BitcoinQuant says 0.59, Bitcointreasuries.net 0.14 LOL)
Nakamoto is a casualty of its own financing. To raise capital for its crypto purchases, the company executed a series of private investment in public equity (PIPE) deals, totaling approximately $563 million. These deals sold hundreds of millions of new shares to private investors at a significant discount, massively diluting existing shareholders. The situation imploded in September when a large block of these PIPE shares became eligible for sale, flooding the market as investors rushed to lock in profits.
That's the story, not much/many of the known investors have sold (or at least filed with the SEC that they sold...) -- rather, it's a shorting story.
210k Capital alone has quietly quadrupled its assets under management from about $100 million to $400 million since January, according to a source familiar with its finances.
and the other companies are profitable, too, in the sense that they're riding a nice little treasury company bubble wave (#1081555) and holding unsellable "assets."
OK, boomer. Also, Buffett is our friend: "it’s not just an investment strategy but a rerun of monetary history... large holding company owning profitable, independently run subsidiaries."
The Trump Connection
“Trump turns everything into a season of The Apprentice. You're always auditioning,’’ he adds. “‘Okay, you want to be a bitcoin adviser? I'm gonna go find three other people who also want it and you all are going to compete.’” Bailey won by rallying industry leaders to raise more than $100 million for his campaign. $21 million was raised during the Nashville conference alone, where Trump famously vowed to make the U.S. “the crypto capital of the planet.”
“He was very uncertain going in, but people cheered, and he walked out saying ‘these bitcoiners love me. These are my people’,” recalls Bailey, who now acts as an informal adviser to the president.
Tl;dr, nothing much new to see here
edit: oh, compulsory tweet:
