South African Altvest seeks $210 M in Bitcoin Treasury

Altvest SA plans a 200M+ Bitcoin treasury. The relocation provides controlled crypto access through equity shares.

Altvest Capital Ltd, a South African financial firm, has also made an announcement that it intends to raise 210 million dollars to invest in Bitcoin and establish a crypto treasury reserve. 

The firm aims at rebranding into Africa Bitcoin Corp, thus becoming the first listed African company to use Bitcoin as its treasury reserve asset of choice. 

This approach is similar to other successful Bitcoin treasury models of major companies worldwide, like MicroStrategy and Metaplanet of Japan, that have seen their valuations skyrocket due to large Bitcoin holdings.

Altvest founder and CEO W.Wheatley highlighted these ideas in an interview, highlighting the company’s dramatic transition to cryptocurrencies on its balance sheet.

A Bold Crypto Treasury Strategy Shaping Africa’s Landscape

The strategy of Altvest implies keeping Bitcoin as a reserve asset in the same way as the customary cash reserves or gold reserves. 

As Wheatley described, the problem is that a large number of institutional investors, such as pension funds, unit trusts, and so on, cannot actually purchase Bitcoin.

 Rather, they have the opportunity to get regulated Bitcoin exposure through equity markets by buying shares of Altvest. 

This establishes a new avenue through which African financial markets can turn to cryptocurrency in a legal and safe manner. Along with domestic capital investments, Altvest is going to seek foreign investments. 

In addition, the company intends to list its shares on exchanges in other countries, including Kenya, Botswana, and Namibia, as well as in other African countries.

This multi-exchange model aims to increase the availability of exposure to Bitcoin to savers and investors on the continent. 

The crypto offerings of the firm will be regulated by an Authorization from the Financial Sector Conduct Authority of South Africa and will comply with regulations.

Bitcoin Gains vs Altvest Share Price: A Contrasting Trend

The price of bitcoin has risen by about 95% in the last one year and has been above the $110,000 mark recently. 

By a very sharp contrast, the share price of Altvest has dropped by approximately 25 percent over the same period. Nevertheless, this action will help the company to increase long-term resilience and attract investors in need of exposure to the fast-growing cryptocurrency market. 

The strategic shift makes Altvest consistent with the number of Bitcoin-first global companies that have integrated digital assets into corporate treasury management.

The current market capitalization of Altвест can be estimated at roughly 3 million dollars, which represents a rather small company that made a rather bold move into the world of crypto. 

The company will increase capital by issuing the new shares, numbering around 1 million at an estimated price of about 0.60 per share, to finance its Bitcoin treasury construction. 

With this, Altvest expects to appeal to long-term institutional and retail investors seeking regulated crypto alternatives.