Trump Advisor Bailey Secures $300 Million For New Bitcoin Investment Firm
David Bailey, CEO of BTC Inc. and a key advisor to President Donald Trump on cryptocurrency policy, has raised $300 million to launch a publicly traded Bitcoin investment company named Nakamoto, CNBC reported on May 7, 2025. The funding includes $200 million in equity and $100 million in convertible debt, with the deal having been in development since January 2025. Bailey's new venture will focus on acquiring and holding Bitcoin as its primary business strategy.
The company, named after Bitcoin's pseudonymous creator Satoshi Nakamoto, plans to merge with a Nasdaq-listed company and officially go public this summer, according to sources familiar with the matter. When asked about the reports, Bailey posted "No comment" on social media platform X, neither confirming nor denying the news about his new Bitcoin investment firm.
Bitcoin Investment Landscape Transformation
Bailey's Nakamoto fund enters an increasingly competitive field of Bitcoin-focused investment companies. This trend gained momentum in April when Strike founder Jack Mallers launched Twenty One Capital with backing from Tether, SoftBank, and Cantor Fitzgerald, holding approximately 42,000 Bitcoin worth $3.9 billion, as reported by CoinDesk.
The investment model follows the strategy pioneered by Michael Saylor's Strategy (formerly MicroStrategy), which transformed into a Bitcoin treasury powerhouse by continuously acquiring the cryptocurrency. Strategy currently holds over 550,000 Bitcoin, making it the largest corporate holder of the digital asset with a market capitalization around $91 billion, according to Reuters.
Strive Asset Management, founded by former presidential candidate Vivek Ramaswamy, also announced plans on May 7 to transition into a Bitcoin treasury company. As stated on their website, Strive is "pioneering a higher standard for corporate finance, focusing on Bitcoin per share for investors and setting Bitcoin as the hurdle rate for capital deployment."
Market Impact and Investment Strategy
Bitcoin has maintained a strong position in 2025, with the price stabilizing above $90,000 following its previous all-time high in November 2024 of approximately $93,000, as reported by Changelly. This price stability has encouraged institutional investors to increase their cryptocurrency allocations, with Bitcoin ETFs experiencing significant inflows throughout early 2025.
According to Mitrade, Bitcoin's 2025 outlook points to continued strong price growth, driven primarily by institutional adoption, regulatory clarity, and enhanced infrastructure. The re-election of Donald Trump in November 2024 strengthened confidence in cryptocurrencies, as his administration aims to establish the USA as a "crypto superpower" with potential plans for a national Bitcoin reserve fund.
Nakamoto's investment strategy appears to mirror that of Twenty One Capital, which explicitly positioned itself as a "superior vehicle for investors seeking capital-efficient Bitcoin exposure" in its SEC filing, according to Sherwood News. Bailey's firm plans to invest in and acquire businesses globally while deploying Bitcoin as part of its capital structure.
Broader Institutional Adoption Trends
The launch of Nakamoto comes amid accelerating institutional cryptocurrency adoption in 2025. Eye on Annapolis notes that institutions are increasingly viewing Bitcoin as a long-term store of value, with prominent examples including BlackRock's Bitcoin ETF and Fidelity Digital Assets' cryptocurrency products aimed at institutional clients.
Standard Chartered, a major global bank, predicts Bitcoin could reach $200,000 by the end of 2025, as mentioned in Financial Magnates. The bank's optimistic forecast is based on continued ETF inflows, with U.S. spot Bitcoin ETFs seeing approximately $591 million in net inflows in a single day during late April 2025.
According to VanEck analysts, the crypto bull market will persist through 2025, reaching its first peak in the first quarter before experiencing a consolidation period. They project Bitcoin to potentially reach $180,000 at the cycle's peak, with Ethereum trading above $6,000. After an expected 30% pullback, they anticipate a recovery in autumn with major tokens reaching new all-time highs by year-end.
Implications For The Financial System
The emergence of Bitcoin-focused public companies like Nakamoto, Twenty One Capital, and Strategy represents a significant evolution in how traditional finance interacts with digital assets. Bloomberg observes that "US public equity markets will pay about $2 for $1 worth of Bitcoin," creating incentives for companies to purchase Bitcoin and see their stock prices increase accordingly.
This dynamic has implications for both cryptocurrency markets and traditional financial institutions. As more publicly traded companies allocate treasury reserves to Bitcoin, they create additional demand pressure while reducing available supply. The Coinbase 2025 Market Outlook notes that Bitcoin's dominance increased from 52% at the start of 2024 to a high of 62% by November 2024, partly driven by ETF-related demand.
For traditional banks and investment firms, the rise of Bitcoin treasury strategies presents both challenges and opportunities. Financial institutions must adapt to a landscape where digital assets increasingly compete with traditional reserve currencies and investment vehicles. The trend toward tokenization of assets, as highlighted in the Coinbase report, suggests that blockchain technology continues to reshape the broader financial ecosystem beyond just Bitcoin investments.
Related Reading on BTC Peers
For more cryptocurrency insights, read 100 Reasons for Bitcoin National Reserves on BTC Peers, which explores the strategic arguments for governments to adopt Bitcoin.
