Bitcoin Adoption Surges Among Public Companies – But the Best Is Yet to Come
River, a client-first Bitcoin-only financial institution, has revealed a staggering 139% increase in the number of public companies holding Bitcoin since 2023. Despite this remarkable growth, less than 1% of publicly traded companies have embraced BTC as a treasury asset—highlighting a massive untapped opportunity for businesses worldwide.
Bitcoin’s Adoption: Still in Its Early Days
River compares Bitcoin’s adoption to the early days of the internet, arguing that its full potential as a savings and payments tool is only beginning to be realized. The firm also noted that 13 organizations are actively funding Bitcoin development, with three new entrants in 2024, signaling increased confidence in Bitcoin’s long-term viability.
The Rise of the Bitcoin Treasury Company
An increasing number of companies are shifting their retained earnings into Bitcoin instead of distributing profits through dividends, stock buybacks, or searching for growth through risky mergers and acquisitions that often fail miserably. These Bitcoin Treasury Companies are leveraging BTC’s scarcity and long-term value proposition as a hedge against inflation and fiat currency devaluation. This shift signifies a broader trend where businesses are adopting Bitcoin as a primary treasury asset, following in the footsteps of pioneers like MicroStrategy and Tesla.
Businesses Are Stacking Bitcoin Daily
Since January 2024, businesses have been accumulating over 1,000 BTC per day. Public companies’ holdings surged by 80% this year alone, yet corporate Bitcoin adoption remains under 1% of all publicly traded firms. The shift is clear—companies are increasingly treating BTC as a strategic treasury asset, prioritizing long-term appreciation over traditional stock buybacks and dividends.
“An increasing number of companies are using Bitcoin as their primary treasury asset and the main vehicle for holding retained earnings, rather than distributing earnings through dividends or share buybacks.” — River Financial
Bitcoin Custody Trends: ETFs Driving Institutional Accumulation
Despite a 20% drop in exchange-held Bitcoin since 2022, balances remain largely with third-party custodians instead of moving to self-custody. River anticipates that ETF demand will drive further institutional accumulation, with businesses, funds, and governments now holding 38.9% of Bitcoin’s total supply. Coinbase alone holds 2.37M BTC (11.3% of total supply) between exchange and institutional clients.
Who Owns Bitcoin? Breaking Down the Supply
As of December 31, 2024, River reported the following Bitcoin ownership distribution:
Individuals: 69.4% (14.56M BTC)
Satoshi Nakamoto: 4.6% (968K BTC)
Businesses: 4.4% (914K BTC)
Funds & ETFs: 6% (1.29M BTC)
Governments: 1.4% (297K BTC)
Bitcoin’s Addressable Market Is Just 3% Tapped
River estimates that Bitcoin adoption remains at only 3% of its full potential. Despite 14% of Americans owning Bitcoin, global BTC ownership remains under 4%. U.S. investment advisors collectively allocate just 0.006% of their portfolios to Bitcoin, signaling room for massive institutional adoption.
Bitcoin’s Scarcity: 94% Mined, 6% Left Over 115 Years
With 94% of Bitcoin already mined, the remaining 6% will take over a century to enter circulation. The April 2024 halving cut BTC issuance to 450 BTC/day, leading to a 0.8% annual supply growth rate—lower than gold and all major fiat currencies.
Institutions Poised to Drive the Next Bitcoin Boom
According to River, Bitcoin adoption among businesses will go mainstream as legal and accounting barriers fade. ETFs and businesses were the primary Bitcoin accumulators in 2024:
ETFs added 519K BTC
Businesses added 374K BTC (31% more than in 2020)
52% of top 25 hedge funds & RIAs now own Bitcoin ETFs
The Road Ahead: Bitcoin’s Institutional Takeover
With only 3% of U.S. RIAs currently holding Bitcoin ETFs, there is enormous room for growth. Hedge funds and institutional managers are beginning to recognize Bitcoin’s potential, with 295K BTC (27.3%) now held in ETFs. As demand for ETFs and corporate Bitcoin holdings rises, adoption is poised to accelerate significantly.
The Bottom Line: The Bitcoin Standard is Coming
The data is clear—corporate and institutional Bitcoin adoption is in its early innings. As companies shift toward BTC for long-term value preservation, the question isn’t if businesses will adopt Bitcoin—it’s when.
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