DigitalX Taps Animoca’s Yat Siu, Raises $13.5M to Buy Bitcoin

DigitalX (DCC), Australia’s sole ASX-listed crypto fund supervisor, has raised A$20.7 million (US$13.5 million) from a consortium of digital asset buyers to develop its Bitcoin holdings and set up a brand new strategic advisory board.

The location, priced at A$0.074 (US$0.048) per share, drew participation from Animoca Manufacturers, UTXO Administration, and ParaFi Capital. 

Traders obtained one warrant for each two shares, exercisable at A$0.15 (US$0.10) and expiring in 18 months.

The corporate stated $12.8 million can be used to buy extra Bitcoin, with the rest to go in the direction of operational prices and dealing capital.

Alongside the increase, DigitalX named Animoca’s Government Chairman, Yat Siu, and Web3 advisor Hervé Larren to its newly shaped advisory board.



In an interview with Decrypt on Monday, Siu revealed he was beforehand an investor in DigitalX and famous that each DigitalX and Animoca had been as soon as ASX-listed firms navigating a markedly totally different atmosphere.

“So far as DCC is anxious, it made explicit sense as a result of in Australia you possibly can make investments through your superannuation funds (suppose 401k equal) in ASX firms and it’s a great way to get publicity to probably the most acknowledged digital asset class being Bitcoin,” Siu stated.

 “Resulting from DCC’s historical past, it’s also, in impact, one if not the one method of actually doing that: being the one ASX-listed firm that’s accumulating Bitcoin.”

Siu additionally stated he views Bitcoin as a gateway to the broader digital asset ecosystem. 

“We expect everybody ought to maintain some Bitcoin, if for no different motive than a hedge, and it’s most effectively understood as a retailer of worth,” he stated. “So after getting some Bitcoin, instantly or not directly, you get into different tokens too and develop the on-chain exercise,” he stated.

The Bitcoin technique

Requested concerning the dangers of firms shifting to Bitcoin-heavy methods, Siu stated it depends upon how the belongings are acquired. “In an fairness increase, like this one, danger is pretty low. Whether it is debt, doubtlessly increased, nevertheless it depends upon what the safety is.”

The development first gained traction after Technique started aggressively buying Bitcoin in August 2020, primarily by convertible debt choices. Led by Michael Saylor, the agency has since turn into the biggest company holder of Bitcoin, with over 597,000 BTC. 

Japan’s Metaplanet has adopted the same path, positioning itself as “Asia’s MicroStrategy” by buying Bitcoin by a mix of fairness and deliberate debt raises.

“The development to place Bitcoin on the stability sheet is markets advertising and marketing too, not too dissimilar from different tendencies,” Sui stated. “The query to ask is ‘Is the corporate placing Bitcoin or some other token on its stability sheet critical for the long run, or simply looking for consideration?”

He famous that whereas the Bitcoin-on-balance-sheet development is rising, motivations differ.

“That’s not in contrast to tokens,” he added. “You search consideration, and when placing Bitcoin in your stability sheet, it offers consideration, it helps it, however that gained’t final when everybody has it.”

“My common recommendation is: search for firms which might be constructing or have true experience round it, after which it turns into your entry/hedge/funding right into a Bitcoin way forward for kinds if that’s the method you want,” Siu stated.

When requested if the present capital increase marked the extent of DigitalX’s Bitcoin technique, Siu responded merely: “Deeper. That is the start, not the tip.”