Bitcoin Surges 100% In 2024, Institutional Holders Reap Billions

Bitcoin is currently trading at an all-time high, surpassing $117,000, and several major institutional holders are sitting on substantial unrealized profits. Strategy, the software company that has transformed into a significant bitcoin holder, possesses nearly 600,000 BTC. At the current price, this gives the company an estimated $28 billion in unrealized profit. Strategy has invested over $42 billion to accumulate its bitcoin holdings, making it the third-largest bitcoin holder globally, behind only the pseudonymous bitcoin creator Satoshi Nakamoto and asset manager BlackRock.

BlackRock holds bitcoin on behalf of investors in its iShares Bitcoin Trust, which was launched in January last year. In contrast, Strategy holds the tokens on its balance sheet. The firm’s co-founder and executive chairman, Michael Saylor, has consistently stated that he has no intention of selling the company's bitcoin holdings. In fact, during the recent all-time high run of BTC, Saylor posted on X, "The halls of eternity echo with the cries of those who sold their Bitcoin."

Other corporate bitcoin holders are also experiencing significant gains. Japanese firm Metaplanet, which began aggressively accumulating BTC in 2024, now owns 15,555 coins worth roughly $1.83 billion. This translates to an unrealized profit of $284 million. El Salvador, the first nation to adopt bitcoin as legal tender, holds 6,234 BTC worth nearly $733 million at current prices. Its bitcoin investment has turned into a $232 million paper gain, a notable reversal from the losses it faced during the 2022 bear market.

Smaller firms are also benefiting from the rally. Semler Scientific, which followed Strategy’s treasury strategy last year, owns 4,636 BTC and sits on $160 million in unrealized gains. France’s Blockchain Group holds 900 BTC, with $30.5 million in paper gains. Despite the potential for massive profits, many of these companies have shown no signs of selling their bitcoin holdings. In the bitcoin community, these holders are often referred to as “maxis” — short for maximalists — who believe in holding the asset indefinitely. Some may take profits over time, but others, like Saylor, have publicly stated their intention to hold forever.