Ask HN: Any startups here own Bitcoin (and digital assets)?

#1

Post by bigbossman » Wed, Feb 24, 2021, 4:29 PM UTC

Public companies like Square and MicroStrategy have been in the news for buying bitcoin. Anyone here work for a startup that owns bitcoin on its balance sheet? How does the company custody and track their holdings?

Question is intended for both non-crypto and crypto companies.

Re: Ask HN: Any startups here own Bitcoin (and digital assets)?

#2

Post by [deleted] » Wed, Feb 24, 2021, 5:06 PM UTC

[deleted]

Re: Ask HN: Any startups here own Bitcoin (and digital assets)?

#3

Post by derivagral » Wed, Feb 24, 2021, 5:09 PM UTC

I don't have an answer, but I do have a question. If you funded some amount of crypto as the primary asset into a new company, and then convinced a SPAC to take you public... is that a net gain? We've seen already-public companies buy up crypto, but what about taking a private one public and skipping the "real" business part?

Re: Ask HN: Any startups here own Bitcoin (and digital assets)?

#4

Post by doggosphere » Wed, Feb 24, 2021, 5:30 PM UTC

You can be exposed to a bitcoin etf or closed fund as well, there's a bunch now and probably more coming out.

EBIT, BTCC, GBTC, BTCG, QBTC, BITC

Watch out for momentary premiums/discounts on share price though. https://bitbo.io/ for quick calculations.

Re: Ask HN: Any startups here own Bitcoin (and digital assets)?

#5

Post by [deleted] » Wed, Feb 24, 2021, 5:33 PM UTC

[deleted]

Re: Ask HN: Any startups here own Bitcoin (and digital assets)?

#6

Post by superbcarrot » Wed, Feb 24, 2021, 5:34 PM UTC

This is one of the worst things a startup can do with their money. I wonder how many will try it just because they want to emulate Tesla.

Re: Ask HN: Any startups here own Bitcoin (and digital assets)?

#7

Post by quickthrower2 » Wed, Feb 24, 2021, 6:13 PM UTC

derivagral wrote: post #3

I don't have an answer, but I do have a question. If you funded some amount of crypto as the primary asset into a new company, and then convinced a SPAC to take you public... is that a net gain? We've seen already-public companies buy up crypto, but what about taking a private one public and skipping the "real" business part?

How complex can we make the scam eh!

Re: Ask HN: Any startups here own Bitcoin (and digital assets)?

#8

Post by quickthrower2 » Wed, Feb 24, 2021, 6:15 PM UTC

superbcarrot wrote: post #6

This is one of the worst things a startup can do with their money. I wonder how many will try it just because they want to emulate Tesla.

Not a great thing for Tesla to do. It’s one step away from Google buying Microsoft stock instead of reinvesting it or buybacks.

Re: Ask HN: Any startups here own Bitcoin (and digital assets)?

#9

Post by tor11 » Wed, Feb 24, 2021, 6:45 PM UTC

superbcarrot wrote: post #6

This is one of the worst things a startup can do with their money. I wonder how many will try it just because they want to emulate Tesla.

owning digital currencies is not even remotely "one of the worst things a startup can do with their money". it is not an investment. it is not productive. but it is not a bad idea.

Re: Ask HN: Any startups here own Bitcoin (and digital assets)?

#10

Post by throwaway2a02 » Wed, Feb 24, 2021, 7:04 PM UTC

tor11 wrote: post #9

superbcarrot wrote: post #6

This is one of the worst things a startup can do with their money. I wonder how many will try it just because they want to emulate Tesla.

owning digital currencies is not even remotely "one of the worst things a startup can do with their money". it is not an investment. it is not productive. but it is not a bad idea.

In other words, it's a gamble. And it has terrible effects on the public image of the company if you ask me. If I was a stockholder, that would make me question the long-term stability of the company, if the executive has tendencies towards such behavior.