Capital B’s New Bitcoin-Backed Credit Product
Capital B, a Paris-listed firm recognized as Europe’s preeminent Bitcoin treasury company, has announced its intention to develop a credit product backed by Bitcoin. This initiative is part of Capital B’s ongoing strategy to enhance its Bitcoin reserves, which currently stand at 3,139 BTC.
Targeting European Investors
The company’s board director Alexandre Laizet revealed during a conversation at the BTC Prague conference that this new financial offering will target European investors and will leverage Bitcoin assets, drawing inspiration from existing instruments like Strategy’s STRC and Strive’s SATA.
Laizet emphasized that the envisioned credit instrument aims to remedy perceived deficiencies in the European capital markets, providing a novel digital credit tailored to investor needs within the region.
One of the key objectives is to generate double-digit yields while maintaining a low level of volatility. This announcement follows the company’s recent move to seek shareholder approval for new financial maneuvers, including the potential issuance of up to €5 billion in equity and €116 billion in credit instruments to bolster its Bitcoin accumulation efforts, with a vote scheduled for the upcoming general meeting on June 17.
Advantages of Bitcoin Treasury Firms
Highlighting the advantages of Bitcoin treasury firms, Laizet suggested that these companies can sustain high-yield credit offerings due to Bitcoin’s historical appreciation trends, contrasting this with conventional financial structures that require steady cash flow for similar returns.
He underscored a pertinent example within the industry, noting that Strategy had sold 32 BTC to facilitate distributions related to its preferred stock, subsequently repurchasing 1,587 BTC—an indicator of how treasury operations can maintain credit products while simultaneously enhancing their Bitcoin holdings.
Growing Interest and Future Goals
According to Laizet, interest in such digital credit products has surged, with Capital B experiencing a tenfold increase in investor engagement compared to the previous year. The company’s records reveal that Capital B has consistently grown its Bitcoin reserves, including a successful €15.2 million private placement earlier in the year backed by notable investors such as Blockstream’s CEO Adam Back and asset management firm TOBAM. This funding contributed to the acquisition of additional BTC, boosting Capital B’s total from earlier purchases.
The company, which rebranded from The Blockchain Group in July 2025, has set ambitious goals, including a desire to amass 1% of Bitcoin’s total supply by 2033, with a target of reaching 15,000 BTC by 2027.
Investor Cautions
Despite the prospects, Laizet did caution potential investors about inherent risks linked to the new credit product, including fluctuations in Bitcoin’s price, challenges in execution, custody risks, and exposure to counterparties. To mitigate custody issues, Capital B engages exclusively with regulated banking partners and employs teams with expertise in critical areas like capital markets and corporate finance.
While no launch date for the product has been announced, Capital B aims to position itself at the forefront of European Bitcoin-based financial innovation.
