Dominari Holdings Becomes the Latest Public Company to Adopt a Bitcoin Treasury Strategy

The holding company is engaged in wealth management, investment banking, trading and asset management

Dominari Holdings (ticker: DOMH) will allocate a portion of its excess cash and earnings to invest in shares of the largest spot bitcoin exchange-traded fund, iShares Bitcoin Trust ETF (IBIT), to build out a corporate bitcoin treasury.

This initiative will commence with an initial investment of about $2 million from Dominari's own balance sheet, and the company's management team plans to continue incrementally buying the ETF and rolling over this practice as the company's cash reserves continue to grow.

Dominari currently expects to have about $1 million to $2 million in its bitcoin treasury and anticipates adding further to its alternative coin treasury by year's end.

The announcement comes in conjunction with Dominari's fourth-quarter earnings. The company expects to report a total revenue of approximately $19 million for 2024, with over $8 million of the annual revenue recognized during the fourth quarter.

"As we continue to expand our capacity to provide comprehensive investment banking services, we remain committed to our broader strategy of transitioning into a dynamic holding company, strategically investing in emerging technologies that drive innovation and long-term value for our shareholders," said CEO Anthony Hayes.

This move makes Dominari the latest publicly traded company to announce a corporate bitcoin treasury strategy in recent months.

Among publicly traded companies, MicroStrategy is the largest corporate holder of bitcoin, and thanks to MSTR's success and a crypto-friendly White House, several companies have established their own bitcoin strategies.

Earlier this week, Japan-based Metaplanet added $12.6 million worth of bitcoin after appointing Eric Trump to its advisory board. The company aims to hold 10,000 BTC by the end of 2025 and is currently the largest corporate bitcoin holder in Asia.

Meanwhile, video game retailer GameStop said it is issuing $1.3 billion in convertible notes to fund a corporate bitcoin treasury. Investors remain divided, however, with some seeing potential for long-term gains while others worry about stock dilution and the company's history of financial struggles.

DOMH shares traded down 8.2% to $4.80 at publication time. The company has a market cap of $70.4 million.