South Korea to Establish Its Inaugural Bitcoin Treasury Company Using Parataxis as the Pioneer
Bridge Biotherapeutics Reborn as South Korea's First Bitcoin Treasury Firm
Parataxis Holdings, a New York-based digital asset investor, has made a splash in South Korea with a game-changing move. They've invested a whopping KRW 25 billion, equivalent to around $18.2 million, to take control of Bridge Biotherapeutics Inc. The plan? Transform it into South Korea's first Bitcoin-centric treasury company!
According to the official announcement, this transformed entity will be known as Parataxis Korea. It will continue to trade on the KOSDAQ stock exchange, but with a Bitcoin-friendly twist. The deal is set to close post a shareholder vote scheduled for August 2025.
Post acquisition, Parataxis intends to establish a Bitcoin treasury business, mitra its operations in the public markets. In simpler terms, this new company is being built to serve as a Bitcoin trove for not just itself, but also for other institutions.
Founded in 2015, Bridge Biotherapeutics was initially a South Korean biotech company focused on drug development for diseases like ulcerative colitis and fibrosis. It entered the KOSDAQ market in 2019.
The deal sees Edward Chin, CEO of Parataxis Holdings, joining the board of the rebranded company. Meanwhile, Andrew Kim from Parataxis Capital takes the helm as CEO. James Jungkue Lee, the co-founder of Bridge Biotherapeutics, stays on board and continues to lead its biotech division.
Edward expressed excitement about the move, stating, "We see South Korea as a crucial market in the evolution of Bitcoin adoption. We're thrilled to pioneer the first Bitcoin treasury company in South Korea, backed by a robust institutional platform. We believe that building and growing a company like Parataxis Korea and accumulating a Bitcoin treasury will benefit our shareholders, as well as the nation, over the long run."
Parataxis has another fund in the pipeline, aiming for the same goal, with plans to launch more soon. Shin & Kim LLC is handling the legal work, and Deloitte is the financial advisor for the transaction.
It's worth noting that Parataxis has been in the digital asset game since 2019. Their portfolio includes hedge funds for investors, as well as offering strategic advice to family offices and institutions.
This strategic move by Parataxis follows a pilot program by the South Korean Financial Services Commission allowing around 3,500 companies and professional investors to open real-name crypto accounts. Despite banning spot Bitcoin ETFs and institutional crypto investments, this initiative signals a gradual embrace of digital assets by South Korean institutions. Parataxis Korea, situated at the forefront of this shift, could potentially inspire other firms to adopt similar Bitcoin treasury strategies.
Additional Insights:
- The renamed Parataxis Korea aims to follow in the footsteps of global crypto adopters like MicroStrategy, which holds a significant Bitcoin treasury.
- The move could bolster South Korea's corporate crypto adoption landscape, potentially encouraging others to adopt similar Bitcoin treasury strategies.
- Despite regulatory challenges, South Korea has begun to embrace digital assets, with the Financial Services Commission allowing select institutions to open real-name crypto accounts.
Further Reading: South Korea Explores Won-Based Stablecoin Amid Forex Challenges
Bridge Biotherapeutics, previously a South Korean biotech company, is set to become the country's first Bitcoin treasury firm, following an investment by Parataxis Holdings. This transformed entity, known as Parataxis Korea, will serve as a Bitcoin trove not only for itself but also for other institutions, aiming to emulate global crypto adopters like MicroStrategy.
