Coinbase Seeks SEC Approval to Launch Tokenized Stock Trading

Mackenzie Tatananni

MicroStrategy stock isn't for every investor. The company, which does business as Strategy, abandoned its roots in enterprise software as it pursued ambitions to become the world's largest corporate holder of Bitcoin.

However, Strategy's latest stock offering presents a gradual growth opportunity for investors itching to get exposure to the cryptocurrency, TD Cowen analyst argued on Tuesday.

Analysts led by Lance Vitanza asserted that the company was "hitting its stride" following a public offering of junior perpetual preferred stock. The company issued 11,764,700 shares priced at $85 each on June 10. A non-cumulative dividend rate of 10% per annum applies to a face value of $100 a share.

The offering of the so-called STRD (pronounced "Stride") shares will prove to be "highly accretive to common shareholders" over time, Vitanza argued. He noted that the offering raised $1 billion of gross proceeds and "far exceeded initial expectations" for $250 million.

Proceeds were promptly used to fund Strategy's latest Bitcoin purchase. From June 9 through June 15, the company snapped up 10,100 Bitcoins in a $1.051 billion transaction financed mostly by the offering.

Crucially, the offering "establishes a channel for future high yield fund flows into Bitcoin," Vitanza continued. He anticipates "significant accretion" for common shareholders from the offering itself, "and even greater accretion from potential future issuance."

The analyst expects the preferred shares, which have no maturity date and are paid out to shareholders before common stock dividends are distributed, to trade at a higher dividend yield than the company's senior preferred shares.

Vitanza rates MicroStrategy common stock at Buy with a $590 price target. The price target implies nearly 60% upside, with MicroStrategy stock down 1.4% at $376.74 on Tuesday.

Strategy has more than $63 billion of underlying Bitcoin value compared to $11.6 billion of total debt and preferred outstanding. This number is even lower excluding in-the-money converts.

The price of Bitcoin fell steeply on June 12 after Israel launched its initial barrage of attacks on Iran. While enthusiasts may argue that the crypto is a safe-haven asset under certain circumstances, its price is generally subject to volatility during periods of market instability.

At last check, the price of the cryptocurrency was down 2.9% over the past 24 hours to $105,487, according to CoinDesk data. The S&P 500 and Nasdaq Composite were down 0.2% and 0.3%, respectively.

Strategy's latest Bitcoin acquisition brought the company's total holdings to 592,100 tokens purchased for an aggregate $41.84 million.

Even in the face of market instability, Strategy co-founder Michael Saylor has remained upbeat. The company's executive chairman posted a series of tweets seemingly in support of the crypto, including the proclamation "Sometimes you need to fight for Bitcoin," earlier this week.

Write to Mackenzie Tatananni at mackenzie.tatananni@barrons.com

This content was created by Barron's, which is operated by Dow Jones & Co. Barron's is published independently from Dow Jones Newswires and The Wall Street Journal.

DDC Enterprise Ltd. (ticker: DDC), also known as DayDayCook, said Tuesday it has secured three funding agreements worth up to $528 million to expand what it aims to become “the world’s most valuable bitcoin treasury.”

The China- and U.S.-based consumer brand and e-commerce company, previously focused on Asian food products and advertising services, recently adopted bitcoin as a strategic reserve asset. The new funding will help accelerate that shift.

DDC will raise $26 million through a private investment in public equity, or PIPE, from crypto-focused investors including Animoca Brands, Kenetic Capital, and QCP Capital. It also announced a $300 million convertible secured note agreement and a $2 million share placement with Anson Funds, along with a $200 million equity line of credit that can be drawn down based on market conditions.

Anson has committed to buy the first $25 million of the convertible notes, with an additional $275 million available later. Founder and Chairwoman Norma Chu said all proceeds will be used to buy bitcoin for the balance sheet. “Our vision is unequivocal: we are building the world’s most valuable bitcoin treasury,” she said in a statement.

DCC rolled out its bitcoin strategy last month, targeting 500 bitcoins within six months and 5,000 by 2028. It disclosed an initial purchase of 100 bitcoins on May 15.

Public companies are increasingly using stock sales and private placements to add bitcoin to their treasuries, following a playbook popularized by Michael Saylor’s bitcoin-centric firm, Strategy.

In a separate move Tuesday, Fold Holdings — developer of the Fold Bitcoin wallet and app — said it agreed to sell up to $250 million in new shares to finance additional bitcoin purchases.

Disclaimer: The Block is an independent media outlet that delivers news, research, and data. As of November 2023, Foresight Ventures is a majority investor of The Block. Foresight Ventures invests in other companies in the crypto space. Crypto exchange Bitget is an anchor LP for Foresight Ventures. The Block continues to operate independently to deliver objective, impactful, and timely information about the crypto industry. Here are our current financial disclosures.

© 2025 The Block. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

Bitcoin’s recent consolidation above the $104,000 mark may be more than just a pause; it could be the final checkpoint before a new all-time high, according to leading market analyst Rekt Capital.

As the crypto market braces for a major move, the king cryptocurrency’s ability to hold this critical level could determine whether bulls finally take the wheel or sellers reclaim dominance.The $104,400 Litmus Test

In a newsletter published on June 16, Rekt Capital pointed out that BTC has now spent six consecutive weeks retesting the $104,400 level as support. According to the pseudonymous market watcher, the prolonged retest follows Bitcoin’s breakout from a multi-month “re-accumulation range.”

He reminded investors that BTC took over 240 days to break its post-halving range earlier this year. Holding above $104,400 on weekly closes is paramount: “It’s difficult to talk about lower prices until the $104,400 level breaks down,” they stated.

Despite “brutal” sentiment and exhaustion among traders, the actual price pullback from recent highs has been modest at just -10%, representing more of a “time-based capitulation” rather than a price-driven plunge. In their estimation, failure to hold this level risks a deeper correction.

At the same time, sustained support could pave the way to challenge the final major resistance near $108,890, pushing the asset into what he called “Price Discovery Uptrend 2.”

“As long as BTC holds $104400, then it is positioned for upside over time,” declared the analyst.

Though sluggish, the transition is notable for producing higher lows and diamond-shaped formations, technical signals that often precede strong upward movements.Market Behavior

Even geopolitical jitters caused by the ongoing military conflict between Israel and Iran have failed toderailBitcoin’s structural support seriously, further strengthening its bullish case.

At the time of writing, BTC was trading around $105,569, a 2% drop over the past 24 hours. It also shaved about 3.4% from its value in the last seven days, while maintaining a 60.2% gain across 12 months.

A tightening consolidation near the cryptocurrency’s all-time high of $111,814 could also signal growing tension, with investor Daan Crypto Trades noting that the monthly range is “extremely likely” to break in June.

He warned that a “large move is coming in the next couple of weeks,” even as on-chain data shared by Axel Adler Jr. revealed a sustained drop in Coin Days Destroyed (CDD) Momentum below zero, indicating reduced selling pressure from long-term holders. Coupled with a continueddeclinein exchange-held BTC, the setup points toward a market primed for supply shocks.

All of the top coins are in the red zone today, according to CoinStats.CoinStats">

Solana is one of the biggest losers today, falling by 4.42%.TradingView">

On the hourly chart, the rate of SOL is approaching the support of $147.47. If the situation does not change, traders may expect a test of the $146 mark shortly.TradingView">

On the longer time frame, there are no reversal signals so far. 

However, most of the ATR has been passed, which means traders are unlikely to witness sharp moves by tomorrow.TradingView">

From the midterm point of view, it is too early to make any long-term predictions. At the moment, the price of SOL is within the previous weekly candle, which means none of the sides has accumulated enough energy yet.

SOL is trading at $150.57 at press time.