Strategie Corp's Bitcoin Holdings Could Reach 'Problematic' Levels, Warns Swiss Financial Institution Report

Swiss digital asset bank Sygnum issued a warning in its latest report on October 10th, stating that Strategie Corp's Bitcoin (BTC) holdings are approaching 3% of the total circulating supply (19,877,256 BTC), nearing a 'problematic' level. The company also has a target to acquire 5%, which could increase concentration risk, according to the report. The report also analyzed the risks associated with the rapid increase in companies acquiring cryptocurrencies. These companies are purchasing Bitcoin through stock issuances and convertible bonds, aiming to increase the per-share amount of BTC held. However, there are limits to this strategy, and after demand saturation, the stock price premium may dissipate.