Ex-Blackstone, Tether Execs Seek $1B to Build Multitoken Crypto Treasury: Bloomberg
M3-Brigade Acquisition V, a special purpose acquisition company (SPAC) spearheaded by prominent figures in finance and cryptocurrency, is aiming to raise $1 billion to establish a publicly traded cryptocurrency treasury firm. This ambitious venture brings together former Blackstone dealmaker Chinh Chu, Tether co-founder Reeve Collins, and former Hut 8 Mining CEO Jaime Leverton, who will lead the operation. The company plans to rebrand following the fundraising and will invest the capital in a diversified portfolio of cryptocurrencies, including Bitcoin (BTC), Ether (ETH), and Solana (SOL).
This strategy distinguishes M3-Brigade from many other publicly traded companies currently accumulating cryptocurrency assets. While numerous firms are focusing solely on Bitcoin, the largest cryptocurrency by market capitalization, M3-Brigade’s multi-token approach represents a notable departure. This makes it one of the first publicly traded companies to adopt such a diversified cryptocurrency treasury strategy. The decision to include Ether and Solana alongside Bitcoin reflects a belief in the potential of these alternative cryptocurrencies.
Adding further weight to the venture are its notable advisors. Wilbur Ross, former U.S. Commerce Secretary, and Gabriel Abed, Barbados’s former ambassador to the UAE and current chair of Binance’s board, will serve as vice chairs, lending significant experience and credibility to the project. Cantor Fitzgerald is also advising on the initiative. It is important to note that both the fundraising target and the precise mix of cryptocurrencies in the portfolio remain subject to change.
The move comes amidst a broader trend of public companies incorporating cryptocurrencies into their treasury strategies. Companies like MicroStrategy (MSTR) and Metaplanet have already made significant investments in Bitcoin, while others are exploring alternative cryptocurrencies. SharpLink Gaming (SBET), for example, is accumulating Ether, and Nano Labs is investing in Binance Coin (BNB). M3-Brigade’s entry into the market, with its multi-token approach, adds a new dimension to this growing trend. Initial market reaction to the announcement was negative, with M3-Brigade shares falling 12% on Wednesday, but have since shown a 5% pre-market increase. The long-term success of this strategy, however, remains to be seen.
