Tether Co-Founder and Ex-Blackstone Executive Plan $1 Billion Crypto Treasury SPAC
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A Tether co-founder and a former top Blackstone dealmaker are teaming up to raise $1 billion for a digital asset treasury. Their goal is to launch a company that will eventually be listed on the stock exchange. This effort is being led by Reeve Collins of stablecoin Tether and Chinh Chu, a former senior executive at investment firm Blackstone.
To this end, they plan to raise funds through their special-purpose acquisition company (SPAC) named M-3 Brigade Acquisition V Corp which will include cryptocurrencies such as Bitcoin, Ethereum, and Solana.
Growing Trend of Crypto Treasuries
The idea of building crypto treasuries is becoming more common. This trend started gaining popularity in 2020 when software firm MicroStrategy changed its business strategy to focus on holding Bitcoin. The company, now rebranded as Strategy, currently owns over 592,000 Bitcoins worth around $63.6 billion. As it stands, this bold move has helped the company’s stock price jump by 165% in just one year.
As of now, more than 250 organizations, including 141 publicly traded companies, hold Bitcoin in their corporate accounts, according to data from bitcointreasuries.net. This number has grown by 13% in the past month alone. One example of this new wave is SharpLink Gaming, a marketing firm in the gambling sector, which recently raised $425 million through a private share sale to build its own Ethereum treasury. Many investors are now calling it the “Strategy of Ethereum.”
M-3’s Ambitious Goal and Market Context
Reeve Collins played a key role in starting Tether and ran the company from 2013 to 2015 before selling it to Bitfinex’s operators. His partner, Chinh Chu, has worked at Blackstone for over 20 years and has been involved in creating five other SPACs since 2016. Their new SPAC, M-3, comes at a time when interest in SPACs is rising across various industries.
To this end, the timing is also perfect, as the political environment seems more open to cryptocurrencies. Another big player in the space, Anthony Pompliano, a known crypto investor, just announced that he plans to take his company ProCap public through a SPAC deal worth over $750 million. The trend shows that digital assets are not only gaining trust among big investors but are also becoming a core part of corporate strategy.
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