Bitcoins held by U.S. companies have far exceeded the reserves boasted by their offshore counterparts, as spot ETFs and Trump’s victory have unlocked a wave of capital.
According to CryptoQuant analysis, US-domiciled Bitcoin (BTC) reserves exceed offshore-controlled holdings by 65%. Data shows that the ratio between BTC treasuries held by US entities and tokens held by non-US institutions reached 1.65 on January 6.
The ratio is calculated by dividing US public BTC reserves by foreign holdings, Ki Young Ju, CEO of CryptoQuant, explained on X.
Trump, wealth funds and Bitcoin
Offshore reserves of BTC have outpaced U.S. holdings for most of 2023, while the cryptocurrency has floated below $35,000 amid widespread market uncertainty stemming from 2022 failures.
However, US-based BTC warehouses increased rapidly compared to January last year, supported by BTC exchange-traded fund spot approvals from the Securities and Exchange Commission. These products quickly became successful, accumulating over $110 billion in investor assets, or over 5% of BTC’s market capitalization, in one year.
Companies like MicroStrategy have also invested in BTC as a corporate reserve asset. Led by BTC max Michael Saylor, the Tysons Corner company purchased 258,320 BTC for $22.07 billion in 2024. Saylor’s “21/21” plans would buy even more leading cryptocurrencies for MicroStrategy.
President Donald Trump’s shift from a BTC skeptic to a Bitcoin advocate has further boosted the asset’s appeal. BTC hit a new all-time high of $108,135 following Trump’s victory, driven by bullish market sentiment and his pledge to establish a national Bitcoin reserve.
Additionally, a joint survey from Bitwise Asset Management and analytics firm VettaFi found that 96% of wealth advisors reported an increase in client inquiries about crypto in 2024. The study also noted a 11% increase in cryptocurrency allocations as investors turned to the emerging asset class.