Holding at $109K, but Maybe Not for Long

In case you missed it during the holiday week, collaborative design tool Figma filed to go public via IPO. Used by 95% of Fortune 500 companies and with $871 million of revenue over the trailing twelve months (up 49% Y/Y), Figma disclosed bitcoin ETF exposure of $70 million as well as board approval to buy $30 million in spot bitcoin

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“This Is The Way,” goes the title of an essay penned by Marty Bent, founder of Bitcoin media company TFTC and managing partner of Bitcoin Venture Firm Ten31.

“Figma is an incredibly well-run company, one of the darlings of Silicon Valley, and a product that every designer that I know uses in their day-to-day workflow,” wrote Bent. “The fact that the founders of Figma, their board, and their finance team had the foresight to get exposure to bitcoin ETFs and spot bitcoin is an incredibly bullish signal.”

Unlike the gusher of companies of late announcing bitcoin treasury strategies (nearly all with essentially no operating business), Figma is different in that it has an actual product that people use and love and is sweeping some of its profits into BTC.

Bent suspects that there are other privately run companies doing the same that will be going public in the coming 12-18 months.

“After a certain amount of these unsuspecting companies reveal that they have bitcoin on their corporate balance sheet, it will become table stakes for everybody else,” concluded Bent. “It will become ‘unwise’ to not have bitcoin on your balance sheet if you’re a startup, even if you have nothing to do with bitcoin.”

Current price action

There’s been some frustration from bitcoin bulls over the lack of upward price movement given unending headlines of buy pressure from publicly traded corporates and the spot ETFs.

Not making nearly as many headlines, though, is relentless selling pressure from long-term holders sitting on massive profits. Speaking with Bent, bitcoin analyst James Check estimated this selling peaked at a whopping 40,000 BTC per day.

That the market can absorb that sort of selling and remain above $107,000 should be thought of as terribly bullish, said Check, and not as evidence of price suppression via creation of paper bitcoin.