Bitcoin Las Vegas: Treasuries, Collateral, and S&P 500 Inclusion

Three key developments from the conference that could accelerate Bitcoin adoption and price

Dear Bitcoiners,

As you may have seen on my X timeline, a change in plans allowed me to fly in last minute to the Bitcoin Conference in Las Vegas, it was truly a blast!

Compared to previous years, the vibe felt different. It wasn’t just long-time Bitcoiners. The crowd was more diverse, and there were clear signs of growing institutional interest. Talks on institutional adoption were well attended and a major theme throughout the event.

Las Vegas: Key Takeaways

The conference opened with U.S. Vice President JD Vance, who gave reassurance that the current administration is supportive of Bitcoin’s future in the U.S.

Really, we have been living through a chain of events. It started with BlackRock’s embrace of Bitcoin, then the ETF approval, and now a pro-Bitcoin administration. These developments are all accelerating Bitcoin’s integration into the traditional financial system. Demand for Bitcoin treasury companies is growing, and Bitcoin lending services are beginning to mature.

Together, these developments form a powerful feedback loop that is already putting upward pressure on price.

There were, of course, many other highlights. But the following three stood out as especially relevant to our market analysis. Let’s take a closer look:

Bitcoin Treasury Companies

The growing interest in Bitcoin treasury companies is a defining feature of this cycle!

Led by Strategy, the Bitcoin treasury playbook is now being implemented by companies like Twenty One Capital, Semler Scientific, and GameStop, as well as internationally by Metaplanet in Japan and The Blockchain Group in Europe. And of course, the list keeps growing.

Low-interest loans used to buy Bitcoin accelerate fiat debasement, often described as a “speculative attack” on fiat. Companies, unlike individuals, can access cheap credit and this adds to significant buy pressure for Bitcoin.

Strategy holds 580,250 Bitcoin. The chart displays the total Bitcoin supply across different price levels. Notice how Strategy (in orange), driven by demand for its stock, has been accumulating at nearly every level.

Bitcoin as Collateral

With a supportive political environment, more financial institutions are starting to offer Bitcoin-native services. One key area is borrowing against your Bitcoin.

Platforms like Strike now make it possible to borrow at single-digit interest rates, using Bitcoin as collateral with no need for credit checks or income verification. This reduces sell pressure, as holders can unlock liquidity without having to sell their Bitcoin.

S&P 500 inclusion

A development that has gone somewhat unnoticed is that Strategy could soon be included in the S&P 500.

Its Q1 2025 earnings didn’t meet the inclusion criteria, as Bitcoin was still consolidating. But with new all-time highs in Q2, the next earnings report, likely by mid-August, could change everything.

Strategy could become a gateway for passive Bitcoin exposure at scale.

It holds 580,250 BTC, currently worth $60.8 billion. But inclusion in the S&P 500 is not automatic. It depends on more than market cap, criteria also include trading volume, public float, and sector representation.

But if Strategy makes it in, here’s what it means:

The S&P 500 is held by trillions of dollars worth of portfolios globally. As capital flows into these portfolios, rebalancing will drive passive flows into Strategy, flows that Strategy will then convert into Bitcoin.

To Conclude

Treasury practices are already helping reduce downside volatility. But using Bitcoin as collateral and the potential for S&P-linked passive flows are just beginning. Together, these are three powerful trends, each incredibly bullish for Bitcoin

I hope you found these insights valuable. As always, feel free to leave a comment. 👊

Until next week, 🧡

–Root