Parataxis Merges with SilverBox Corp to Raise Up To $640M for a Bitcoin Treasury Company

Parataxis Holdings LLC, an investment firm focused on digital assets led by Bitcoin (BTC$, has announced a strategic merger with SilverBox Corp. IV (NYSE: SBXD). The merger between Parataxis and SilverBox will yield a new entity dubbed Parataxis Holdings Inc. (NYSE: PRTX), which will solely focus on Bitcoin accumulation for its treasury management.

The strategic merger will provide the newly formed entity with up to $640 million in gross proceeds to support its Bitcoin accumulation bid. To begin with, the entity has $31 million to purchase Bitcoins immediately and the right to sell up to $400 million in equity.

“Following the Closing of the Business Combination with SBXD, we will be well-capitalized to execute a BTC treasury strategy in the U.S., enhanced by the yield generation capabilities of an institutional asset manager. We will also be ideally positioned to further establish and grow our successful foothold in South Korea with Parataxis Korea,” Edward Chin, Founder and CEO of Parataxis Holdings, noted. 

Parataxis Joins a Growing List of Bitcoin Treasury Companies

The mainstream demand for Bitcoin as a tool for treasury management has grown exponentially in the past year. According to market data from BitcoinTreasuries, 289 entities have increased their Bitcoin holdings by 4.3 percent in the past 30 days to hover around 3.65 million coins.

Strategy (NASDAQ: MSTR) has led the cohorts with a current holding of about 628,791 BTCs, worth around $72.4 billion. 

Market Impact

The rising demand for Bitcoin as a tool for treasury management by corporations has caused a dramatic supply vs demand shock. According to market data from CoinGlass, the overall supply of Bitcoin on centralized exchanges has declined to a multi-year low of around 2 million coins.

Meanwhile, Bitcoin’s hash rate has skyrocketed to a new all-time high of about 892 EH/s. The combination of positive fundamentals will lead to a major bull market in the coming quarters, especially after BTC price reached a new ATH of above $122k in mid-July.