210k Capital, a hedge fund founded by entrepreneur David Bailey, has reportedly achieved massive profits from his digital assets after contributing to convince US President Donald Trump to say goodbye to a pro-crypto policy design, which creates the potential effects of favorable regulation of the digital asset sector.
The fund achieved a net return of 640%in the 12 months to June, which is largely due to investments in publicly traded companies that Bitcoin (BTC) have included in their balance sheets, Bloomberg reported.
As a private company, a 210k capital is not obliged to reveal financial data, but Bloomberg received the numbers from an anonymous source that also said that Bitcoin Treasury's assets can be traced back in several countries, including the USA, Great Britain, Canada, Australia and Sweden.
The Hedge Fund's Parent Company, Utxo Management, Reports that 210k Capital Has Investments in Several Bitcoin-Linked Companies, Including Strategy (MSTR), MetAplanet (3350), Moon Inc. (1723), The Smarter Web Company (SWC), The Blockchain Group (AltbG), Liquid Technologies (LQWD), H100 (H100), Matador (Mata) and DV8 (DV8).
The managing partner Tyler Evans announced Bloomberg that the company rates a further 30 investments in so-called Bitcoin proxies companies that work in the Bitcoin ecosystem.
Bitcoin Treasury Companies have been flourishing in the BTC's record shot since the beginning of 2024. Source: cointelegraph
Bailey, a serial entrepreneur and founder of Bitcoin Magazine and BTC Inc., was an important crypto consultant for Trump's presidential campaign at the time. Bloomberg describes him as a chief architect behind Trump's pivot in the direction of Bitcoin.
While Little is publicly known to over 210,000 capital, Bailey's influence on the digital asset ecosystem is widely felt. In May, CoinTelegraph reported that his Bitcoin investment company Nakamoto Holdings collected 300 million US dollars and examined a potential public offer.
The company later collected an additional 51.5 million US dollars as part of its merger with the health service provider Kindymd to further scale its Bitcoin Treasury strategy.
Related: Like a Nasdaq company collected $ 51.5 million in 72 hours, just to buy Bitcoin
Follow in the footsteps of the strategy: Bitcoin Treasury companies gain traction
Since Michael Saylor's strategy, formerly Microstrategy, Bitcoin has followed Bitcoin as a financial installation in August 2020, according to industry data, more than 150 companies have followed. At least 47 private companies have also found Bitcoin in their balance sheets.
The strategy pays off in 2025, since Bitcoin continues to reach record highs and recently increased over $ 123,000. However, analysts are still divided into the long-term prospects for Bitcoin financial companies.
The Venture Capital Company Breed recently warned that Bitcoin Treasury's success depends heavily on maintaining a market value that is far above its multiple assets or MNAV. For the breed, MNAV represents the capitalization of a company compared to the value of its digital assets.
A persistent price for Bitcoin, for example, could lead to a decline in the company's MNAV and its ability to increase more debts to finance its BTC purchases.
Others, such as the glass node analyst James Check, argue that companies that jump onto the Bitcoin train have difficulty traction without clear niche or long-term strategy.
“I think we are already near the phase 'Show Me', in which it is becoming increasingly difficult for the random company X to maintain a bonus and go to the ground without serious niches,” wrote Check about X.
Nevertheless, the Bitcoin adoption train takes place in a crucial moment in the development of the industry. Last week, the Republican-controlled House of Representatives passed three crypto bills, which dealt with stable coins, market structure and a ban on creating a digital central bank.
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