Strategy just sold Bitcoin for the first time in four years. A French semiconductor company, Sequans Communications, announced it’s liquidating its entire 658 BTC stack and abandoning crypto altogether. The corporate Bitcoin treasury trade that defined 2025 appears to be unraveling.
Capital B didn’t get the memo.
The Paris-listed company, formerly known as The Blockchain Group, submitted a proposal on Monday asking shareholders to approve a €5 billion equity issuance and up to €10 billion in debt instruments to fund additional Bitcoin purchases. Combined, the fundraising mandate would total approximately $12.2 billion. The shareholder vote is scheduled for the company’s annual general meeting on June 17.
Capital B currently holds 3,139 BTC, ranking it 25th globally and second in Europe behind only Germany’s Bitcoin Group SE. The company’s stated strategy is straightforward: increase the amount of Bitcoin held per fully diluted share over time. Everything else, the share issuances, the convertible bonds, the warrant structures, exists to serve that single goal.
The timing is either bold or reckless depending on your perspective. Bitcoin is trading below $69,000. Strategy is underwater by $5.7 billion. Corporate treasury companies are facing the harshest scrutiny since the model was invented. And Capital B is asking for permission to raise more money than the GDP of several European nations to buy more.
What Capital B Is Actually Proposing
The proposal breaks down into two parts.
The equity component would authorize the issuance of up to 125 billion new shares at nominal value, generating up to €5 billion ($5.8 billion) in proceeds. The debt component would allow the creation of up to €10 billion ($11.6 billion) in credit instruments. Together, they give the board authority to raise approximately $12.2 billion for Bitcoin acquisition over time.
The authorization doesn’t mean Capital B will raise €5 billion tomorrow. It means the board gains the legal flexibility to issue shares and bonds as market conditions permit, deploying capital incrementally rather than in a single massive purchase. The company’s recent fundraising history illustrates the approach. In May, it raised €14.4 million through a share placement with attached warrants and used the proceeds to buy 192 BTC.
Alexandre Laizet, Capital B’s Director of Bitcoin Strategy, shared the proposal on X and framed it as a natural progression of the company’s treasury model. The company rebranded from The Blockchain Group in July 2025 specifically to signal its full commitment to Bitcoin accumulation as a corporate strategy.
Shareholders can vote online before the June 17 meeting. If approved, the board gains immediate authority to begin deploying the new capacity.
The Adam Back Connection
Capital B isn’t a random small-cap company trying to ride the Bitcoin treasury trend. Its shareholder base includes some of the most credible names in Bitcoin.
Adam Back, CEO of Blockstream and one of the few people cited in the Bitcoin whitepaper, holds approximately 13.43% of the company on an ordinary basis. Blockstream Capital Partners, which Back advises, controls another 14.42%. Combined, the Blockstream ecosystem owns over a quarter of Capital B.
Back has been steadily increasing his position. In May, he subscribed to 10 million warrants worth €1.1 million, each carrying a share purchase right at €0.84. His continued investment signals that one of Bitcoin’s most respected technologists views Capital B’s approach as sound, even during a bear market.
TOBAM, a French quantitative asset management firm, is another significant shareholder and has participated in multiple Capital B fundraising rounds. The institutional backing from both crypto-native (Back) and traditional finance (TOBAM) investors gives the company a credibility profile that most Bitcoin treasury companies lack.
Why the Timing Is So Controversial
Capital B’s €5 billion proposal arrives during the worst week for the corporate Bitcoin treasury model since its invention.
Strategy sold 32 BTC on June 1, breaking a four-year buying streak. The sale was small in dollar terms ($2.5 million) but symbolically devastating. The company that defined “never sell” just sold. MSTR stock dropped 6%. Bitcoin fell below $69,000. The narrative that corporate treasuries provide a permanent structural bid under Bitcoin’s price took a direct hit.
Sequans Communications, another French company, announced it’s ending its digital asset treasury strategy entirely and liquidating its remaining 658 BTC in stages. The firm said it would refocus on its core semiconductor business. For a European Bitcoin treasury peer to publicly abandon the model in the same week that Capital B proposes €5 billion to expand it creates a stark contrast.
The broader market environment makes the proposal even more provocative. Bitcoin is trading 45% below its all-time high. Spot ETFs have recorded 11 consecutive days of outflows totaling $3.5 billion. The Fear and Greed Index reads 23. Over 40% of Bitcoin’s total supply is now held at a loss.
Capital B’s counterargument is that this is exactly when you want to buy. The corporate treasury model is designed to accumulate Bitcoin with a multi-year horizon. Buying during maximum fear, when the price is 45% below the high and institutional sellers are panicking, is the strategy working as intended? Whether shareholders agree will be clear on June 17.
The Dilution Problem
The biggest risk for Capital B shareholders isn’t Bitcoin’s price. It’s dilution.
Issuing 125 billion new shares at nominal value would massively expand the share count. The company’s filing from its May fundraise noted that an investor holding 1% of Capital B before the issuance would see their stake reduced to 0.92% after the placement and 0.71% if all warrants are exercised.
That dilution only works in shareholders’ favor if the Bitcoin purchased with the new capital appreciates faster than the share count grows. If Bitcoin doubles, the Bitcoin-per-share metric improves despite the dilution. If Bitcoin remains flat or declines further, shareholders are diluted without a corresponding increase in per-share value.
Strategy navigated this same tension for years. When Bitcoin was rising, share issuances funded purchases that increased Bitcoin per share faster than dilution reduced it. When Bitcoin fell below Strategy’s cost basis, the model reversed, and shareholders suffered from both dilution and a decline in asset value.
Capital B’s management has explicitly stated that their goal is to increase Bitcoin per fully diluted share over time. That metric is the one shareholders should watch. If it rises quarter over quarter, the dilution is accretive. If it falls, fundraising destroys shareholder value regardless of how much Bitcoin the company accumulates in absolute terms.
What This Means for the Corporate Bitcoin Treasury Trend
The divergence between Capital B’s expansion and Strategy’s first sale captures the state of the corporate Bitcoin treasury movement in June 2026.
The model isn’t dead. But it’s splitting into two camps. One camp, led by Strategy and followed reluctantly by companies like Sequans, is discovering that buying Bitcoin near the top and funding dividends from a depleting cash reserve creates financial pressure that the original thesis didn’t account for. The other camp, led by Capital B and backed by Bitcoin maximalists like Adam Back, is treating the bear market as a buying opportunity and raising capital specifically to accumulate at discounted prices.
Both approaches carry real risks. The risk in this strategy is that continued price declines force more sales, creating a self-reinforcing cycle: selling Bitcoin to fund dividends pushes the price lower, which increases losses, which in turn forces more sales. Capital B’s risk is that massive dilution will destroy shareholder value if Bitcoin doesn’t recover within the timeline its investors expect.
The Bitcoin treasury model works brilliantly in bull markets and painfully in bear markets. Capital B is betting that the bear market is temporary and that €5 billion deployed at $69,000 will look like genius when Bitcoin is at $150,000. Whether shareholders share that conviction will be decided on June 17.
FAQ
What is Capital B proposing?
Capital B, a French Bitcoin treasury company listed on Euronext Growth Paris, is seeking shareholder approval to raise up to €5 billion through stock issuance and €10 billion through debt instruments, for a total of approximately $12.2 billion in fundraising capacity for Bitcoin purchases. The company currently holds 3,139 BTC and ranks 25th globally among corporate Bitcoin holders. Shareholders vote on June 17.
Why is the timing controversial?
The proposal arrives in the same week that Strategy sold Bitcoin for the first time in four years and French semiconductor firm Sequans Communications abandoned its Bitcoin treasury strategy entirely. Bitcoin is trading below $69,000, spot ETFs have recorded 11 consecutive days of outflows, and the Fear and Greed Index reads 23. Capital B is proposing a massive expansion while the rest of the industry is contracting.
Who backs Capital B?
Adam Back, CEO of Blockstream and one of Bitcoin’s most respected technologists, holds approximately 13.43% of the company. Blockstream Capital Partners controls another 14.42%. TOBAM, a French quantitative asset management firm, has participated in multiple fundraising rounds. The combination of crypto-native and traditional finance backing gives Capital B more institutional credibility than most Bitcoin treasury companies.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Cryptocurrency investments carry significant risk. Always conduct your own research before making any investment decisions.
