Capital Group turns $1B Bitcoin bet into $6B windfall

Capital Group, the nearly century-old mutual fund giant known for its cautious investment style, has expanded a $1 billion stake in Bitcoin-related stocks into more than $6 ￰0￱ Casey, a portfolio manager with 25 years at the firm, led the ￰1￱ to a Sunday report by The Wall Street Journal, Casey, who credits Benjamin Graham and Warren Buffett as key influences on his investment philosophy, has become a vocal advocate for Bitcoin. “I just love Bitcoin, I just think it is so interesting,” Casey said during a podcast interview with venture firm Andreessen ￰2￱ called Bitcoin “one of the coolest things that has ever been created by people,” per the WSJ ￰3￱ the past four years, Capital Group has expanded its exposure mainly through investments in Bitcoin treasury companies, public firms that accumulate and hold Bitcoin on their balance ￰4￱ fund house Capital Group has appointed Henry Chan to lead financial intermediaries in Hong ￰5￱ his new position, Chan will manage the city’s team of financial intermediaries, focus on expanding distribution, and enhance existing working relationships with ￰6￱ will be based in Hong Kong and will report to Toby Chan, the head of the Greater China client ￰7￱ 20 years of industry experience, Chan has considerable expertise from time spent in distribution roles at large asset managers, including seven years with Capital ￰8￱ appointment reinstates Capital Group’s strong commitment to Hong Kong as a key market and its emphasis on delivering high-quality service through deep client relationships and thought ￰9￱ Group turns $500M Bitcoin Bet into $6.2B payday Capital Group’s most prominent Bitcoin-linked investment is in Strategy (formerly MicroStrategy), the software company turned Bitcoin vehicle under founder Michael ￰10￱ 2021, the firm purchased a 12.3% stake in Strategy for more than $500 ￰11￱ holding, now diluted to 7.89% through share issuance and modest trimming, is valued at roughly $6.2 billion after Strategy’s stock skyrocketed more than 2,200% over the past five ￰12￱ Strategy, Capital Group also holds a 5% stake in Japan-based Metaplanet, a hotel operator that pivoted to Bitcoin, and shares in mining company Mara ￰13￱ firms hit 1M BTC milestone as buying spree slows Public companies’ Bitcoin holdings crossed the 1 million BTC milestone in August, yet overall accumulation slowed compared to July—a pause that coincided with Bitcoin’s bull market losing ￰14￱ to the latest Bitcoin Treasuries Adoption Report, tracked treasury entities added 47,718 BTC ($5.2 billion) last month, less than half of July’s 100,000+ BTC ￰15￱ brought total holdings across public companies, private firms, governments, and ETFs to 3.68 million BTC, valued at around $400 billion ￰16￱ 1.2% monthly increase marked a sharp slowdown from July’s 4.6%.

The relaxation in corporate purchases of BTC may explain why the surge higher towards $123,000 was not ￰17￱ mid-August, bitcoin reached an all-time high but plummeted by more than 11.5% by the month’s end to less than $109,000. The slowdown happened despite aggressive fundraising ￰18￱ stocks would see more than $15 billion in new equity raised, including Strategy (MSTR), KindlyMD (NAKA), and Metaplanet (3350). Those commitments have not yet translated into immediate purchases, creating a split between fundraising headlines and actual market reality. MicroStrategy, rebranded as Strategy, remains the largest corporate holder with 636,505 ￰19￱ Holdings follows with more than 52,000 ￰20￱ entrants such as XXI and Bitcoin Standard Treasury are rapidly climbing the leaderboard, while firms including Metaplanet, Bullish, and Coinbase round out the top ￰21￱ seen where it ￰22￱ in Cryptopolitan Research and reach crypto’s sharpest investors and builders.