Bitcoin News Today: ATA Creativity Global partners with Baby BTC Capital in $100M treasury shift toward Bitcoin ecosystem

ATA Creativity Global (Nasdaq: AACG) has entered into a strategic partnership with Baby BTC Strategic Capital, a fund backed by the Babylon Foundation, marking a pivotal shift in the company’s treasury strategy toward deeper integration with the Bitcoin ecosystem [1]. Under the terms of the agreement, Baby Capital will subscribe for $30 million in new shares and receive $70 million in warrants, totaling $100 million in commitments. This funding will see Baby Capital gain control of the company and secure three board seats, initiating a comprehensive corporate restructuring [1].

The move is distinct from traditional crypto treasury models, such as MicroStrategy's Bitcoin hoarding or Stake Capital's Ethereum-focused strategy. Instead, Baby Capital’s approach centers on leveraging Babylon’s innovative staking protocol, which enables trustless, non-custodial Bitcoin staking—allowing BTC holders to directly stake assets on the Bitcoin blockchain without relying on third-party services [1]. The protocol, which went live in August 2024, has already attracted over 45,000 Bitcoins in staking, with a total value locked (TVL) exceeding $5 billion as of July 2025 [1].

Babylon, co-founded by Stanford professor David Tse and cryptographer Fisher Yu, has secured over $96 million in funding from top-tier investors including Paradigm, Polychain Capital, and Binance Labs. Its native token, Baby, is listed on major exchanges and has a circulating market cap of more than $100 million [1]. The partnership aims to scale Bitcoin staking and BTCFi-related business to potentially millions of Bitcoins, embedding them into DeFi ecosystems and unlocking the asset’s broader utility beyond mere value storage [1].

ATA Creativity Global plans to adopt a “strategic reserve treasury,” with most of its capital allocated to Baby tokens and a smaller portion in Bitcoin. This approach will leverage the token’s existing liquidity and market capitalization to build long-term value, supported by a continuous asset accumulation strategy through equity issuances and convertible bonds. This creates a self-reinforcing cycle of appreciation and growth, diverging from conventional crypto treasury structures [1].

The partnership represents a new model for bridging traditional capital markets with the Bitcoin ecosystem. By holding a listed platform and acquiring token assets, the company aims to provide a compliant on-ramp for traditional investors to participate in the next phase of crypto innovation. Given Babylon’s leading technological position and the strong backing from institutional investors, the collaboration is positioned to capitalize on the anticipated growth of the Bitcoin-based financial infrastructure [1].

ATA Creativity Global, originally an education services provider, has now shifted its business focus to a strategic treasury model centered on Baby tokens. The company’s restructuring reflects a broader industry trend of listed firms exploring crypto integration through diversified treasury strategies [1].

Source: [1] Baby BTC Strategic Capital Signs Term Sheet with NASDAQ-Listed $AACG, Initiating Babylon Token Treasury (https://cryptoslate.com/press-releases/baby-btc-strategic-capital-signs-term-sheet-with-nasdaq-listed-aacg-initiating-babylon-token-treasury/)