BITCOIN Act

Bitcoin

Arkham

Spot

Tom Lee

<ul>
 <li>Corporations now hold 1.51 million BTC as treasury assets, representing 7.19% of circulating supply and $171 billion in value.</li>
 <li>Spot Bitcoin ETFs in the U.S. have surpassed $150 billion in assets, reflecting strong institutional demand and consistent daily net inflows.</li>
</ul>
Michael Saylor, Executive Chairman of Strategy (formerly MicroStrategy), is reframing the conversation around Bitcoin by positioning it at the core of a new credit market. In 2025, the company introduced four credit products valued at $4 billion, aiming to convert Bitcoin’s volatility into reliable, yield-bearing instruments. Stretch, the flagship product, offers fixed yields up to 12%, fully backed by Bitcoin reserves.
Saylor <a href="https://finance.yahoo.com/video/strategys-saylor-touts-bitcoin-backed-224346885.html" rel="noopener noreferrer nofollow">describes</a> the process as extracting value from Bitcoin, then offering predictable returns in U.S. dollars. By designing credit products secured by Bitcoin, Strategy <a href="https://www.ethnews.com/strategy-leads-while-metaplanet-ranks-sixth-among-public-bitcoin-holders/" rel="noopener noreferrer nofollow">follows a path</a> historically reserved for gold, but now with digital assets as the backbone.
Saylor said:
“What we’re doing is stripping away Bitcoin’s volatility and risk … distilling it into a digital capital instrument, and then offering a defined yield—say, 10% in U.S. dollars.”
These instruments are over-collateralized, with yields structured to appeal to investors seeking both exposure and income.
He clarifies that while Bitcoin fits as digital capital for collateralized lending and structured products, stablecoins such as Tether (USDT) and Circle’s USDC <a href="https://www.ethnews.com/stablecoin-wars-escalate-coinbases-907m-usdc-haul-fuels-takeover-bid-to-rival-tether/" rel="noopener noreferrer nofollow">are better suited</a> for payments and daily transactions. This division, Saylor argues, enables Bitcoin to anchor corporate finance while stablecoins support commerce.
“The killer app in the Bitcoin world is Bitcoin-backed credit. If we were just an ETF, we wouldn’t be able to create credit instruments. The credit itself is an extraordinary new asset class.”
Corporations have increasingly adopted Bitcoin for treasury management. As of late September 2025, 120 companies held 1.51 million BTC in reserves, equivalent to 7.19% of Bitcoin’s circulating supply and valued at $171 billion. 
Strategy alone accounts for nearly half of this amount. Public companies acquired 415,000 BTC in 2025, outpacing previous years as regulatory clarity improves through proposed legislation like the BITCOIN Act.
<figure style="width: 100%" class="wp-caption aligncenter">
 <img loading="lazy" src="https://www.ethnews.com/wp-content/uploads/2025/09/U.S.-listed-Spot-Bitcoin-ETFs-held-150.41-billion-worth-of-BTC.png" alt="U.S.-listed-Spot-Bitcoin-ETFs-held-150.41-billion-worth-of-BTC" width="2048" height="714">
 <figcaption>
 Source: Sosovalue
 </figcaption>
</figure>
Institutional demand is also evident in the rapid expansion of Spot Bitcoin ETFs, which now hold $150.41 billion worth of Bitcoin, driven by persistent inflows. Market analysts maintain that long-term optimism for Bitcoin is closely linked to its price stability and ongoing accumulation by both institutions and digital asset managers.
<h2 id="span-style-font-weight-400-u-s-lawmakers-weigh-bitcoin-act-as-saylor-and-industry-leaders-gather-in-washington-span">U.S. Lawmakers Weigh BITCOIN Act as Saylor and Industry Leaders Gather in Washington</h2>
The debate over the future of Bitcoin in the United States is entering a new phase as lawmakers and industry leaders meet to consider the proposed <a href="https://www.ethnews.com/the-bitcoin-act-lawmakers-and-industry-discuss-buying-one-million-btc-without-raising-the-national-deficit/" rel="noopener noreferrer nofollow">BITCOIN Act</a>. The bill, introduced by Senator Cynthia Lummis, seeks to establish a <a href="https://www.ethnews.com/u-s-strategic-bitcoin-reserve-moves-from-idea-to-policy-thorn-signals-potential-announcement-before-year-end/" rel="noopener noreferrer nofollow">Strategic Bitcoin Reserve</a>, targeting an acquisition of one million BTC over five years.
Alongside Saylor, Wall Street veteran Tom Lee and MARA CEO Fred Thiel have joined a roundtable organized by The Digital Chamber, a major advocacy group for the crypto sector. The group’s main challenge: outline a strategy for the U.S. to accumulate such a large Bitcoin position without raising the federal deficit.
This effort comes at a time of rising political interest in crypto assets. Lawmakers are inviting input not only from major Bitcoin holders but also from mining firms, banks, and venture capital players. 
CleanSpark’s Matt Schultz, Bitdeer’s Haris Basit, and eToro’s Andrew McCormick are among those joining the policy discussions. The presence of executives from Western Alliance Bank and Blue Square Wealth signals that traditional finance is monitoring the crypto agenda closely.
<figure style="width: 100%" class="wp-caption aligncenter">
 <img loading="lazy" src="https://www.ethnews.com/wp-content/uploads/2025/09/Arkham-Intelligence-reported.jpg" alt="Arkham-Intelligence-reported" width="2048" height="1029">
 <figcaption>
 Source: Arkham Intelligence
 </figcaption>
</figure>
Meanwhile, Saylor’s firm continues to expand its Bitcoin treasury. On September 15, Arkham Intelligence reported that Strategy acquired an additional $60 million in BTC, at an average price of $114,562 per coin. The company now holds $73.41 billion in Bitcoin, making it the largest corporate holder of the digital asset globally.
The post <a href="https://www.ethnews.com/bitcoin-backed-credit-instruments-gain-traction-among-institutions-in-2025/" rel="noopener noreferrer nofollow">Bitcoin-Backed Credit Instruments Gain Traction Among Institutions in 2025</a> appeared first on <a href="https://www.ethnews.com" rel="noopener noreferrer nofollow">ETHNews</a>.

Bitcoin-Backed Credit Instruments Gain Traction Among Institutions in 2025

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