Nakamoto launches $5 billion ATM program to buy bitcoin

Nakamoto, the bitcoin-native venture helmed by Trump crypto adviser David Bailey that recently completed its merger with KindlyMD, filed a “shelf” offering with the SEC to launch a $5 billion at-the-market program, primarily to buy more bitcoin as well as for working capital and potential acquisitions of businesses, assets, or technologies, according to the filing.

The company, which made its first bitcoin purchase as a public company last week, now holds 5,744 bitcoin.

Shares were down over 24% in early trading Wednesday, while bitcoin finally broke past the $112,000 mark.

“Excited to partner with TD Securities and 9 other leading financial institutions to execute a $5B ATM offering. It’ll take us a while to build the necessary liquidity to complete the program, but it’ll be a critical tool as we execute our strategy,” Bailey posted on X.

The other agents include Cantor, B. Riley Securities, Benchmark, Canaccord Genuity, Cohen & Company Capital Markets, Craig-Hallum, Needham & Company, and Yorkville Securities.

Fellow bitcoin treasury Metaplanet is also amping up the ante, announcing it plans to raise up to 130.3 billion yen ($880 million) by issuing up to 5 million new shares in an international offering, according to a regulatory filing. The bulk of the proceeds will be used to buy bitcoin.  

While shares of Metaplanet have surged 155% year to date, they have been struggling in the past month, down 30%.

CEO Simon Gerovich and Nakamoto’s Bailey arrived together at the Bitcoin Asia Conference in Hong Kong today.

In other bitcoin news:

• Bitcoin miner Hut 8announced plans to develop four new sites across the US with more than 1.5 gigawatts of total capacity. The announcement comes a few days before the “carve-out and go-public of nearly all its bitcoin mining assets through American Bitcoin (ABTC), likely to be executed in a little more than a week — a transaction that could lead to a re-rating of HUT shares,” Benchmark analyst Mark Palmer wrote in a Wednesday note. He added, “Carving out ABTC is not just structurally separating the businesses but deliberately pursuing a lower cost of capital for its energy infrastructure effort.” Benchmark reiterated its “buy” rating on the company and raised its price target to $36 from $33 — a 38% upside from its current price.

• Global Asian food platform DDC Enterprise continued its steady accumulation, acquiring 102 bitcoin in its fifth purchase this month. The company now holds 1,008 bitcoin.

• Finally, Swedish company H100 Group acquired 46.2 bitcoin and now holds 957.5 bitcoin.