DigitalX Doubles Down: Bitcoin at the Heart of ASX Crypto Pivot

In a no-nonsense webinar that might have left a few sceptics reconsidering their crypto biases, DigitalX (ASX: DCC) non-executive chairman Leigh Travers laid out the company’s laser-focused pivot: a Bitcoin-first, Bitcoin-only strategy that’s already turning heads — and lifting share prices.

DigitalX Non-Executive Chairman, Leigh Travers

Travers, fresh from a stint as CEO of Binance Australia and now back at the helm (albeit non-executively), minced no words about DigitalX’s direction. “It’s one horse in a one-horse race,” he said, referring to Bitcoin’s dominance over other digital assets. With 500 Bitcoin now on the books — up from 250 a few months ago — the Perth-based company is planting its flag as the ASX’s leading corporate BTC treasury.

Backed by heavyweights Animoca Brands, ParaFi, and UTXO, DigitalX recently banked a $20.7 million raise, deploying $19.7 million of that directly into Bitcoin. This isn’t speculative window-dressing. It’s a conviction play, with a dual revenue strategy underpinned by its spot Bitcoin ETF (BTXX) and its online brokerage Sell My Shares, which racked up $2.5 million in FY24 revenue.

Travers made a compelling case for the Bitcoin pivot. “I’m seeing hundreds of millions of dollars weekly flowing into global Bitcoin equities. This is a structure that institutions understand and are buying into,” he said. Indeed, DigitalX is not alone in spotting the trend. Japan’s Metaplanet is up 528%, while France’s Blockchain Group has surged 554%. DigitalX’s own shares have climbed 80% since the strategy change — and management thinks there’s more room to run.

The firm’s pitch is simple: accumulate Bitcoin, increase Bitcoin per share, never sell Bitcoin, and monetise the treasury. With $104 million in assets and a market cap around $140 million, DigitalX is building a flywheel where operational revenue (from BTXX and Sell My Shares) helps fund more BTC purchases. The treasury, now one of the largest corporate Bitcoin holdings in the region, is measured not in fiat, but in Satoshis — the smallest unit of Bitcoin.

While global Bitcoin ETFs have drawn over US$50 billion this year, Australia’s crypto ETF scene remains undercooked, hampered by regulatory friction and platform access issues. That’s where BTXX comes in. As Australia’s first spot Bitcoin ETF, listed on the ASX and backed by institutional-grade custody with Coinbase, it offers local investors a rare compliant vehicle to get Bitcoin exposure without the technical baggage.

The strategy has already shifted DigitalX’s investor base from 90% retail to a roughly 50/50 split with institutions. Next on Travers’ radar: inclusion in the ASX300. “That’s our first benchmark,” he said, noting that companies in that index have market caps around $800 million. If DigitalX continues to execute and the Bitcoin price co-operates, that milestone doesn’t seem outlandish.

Still, this isn’t a risk-free ride. Travers acknowledged the challenge of investor trust after past strategic shifts. But he insists this time is different — the board, new shareholders, and global market tailwinds are all aligned. “This is the right strategy at the right time,” he said. “Bitcoin solves the problem of monetary debasement better than anything else.”

There’s no ambition here to diversify into altcoins or speculative blockchain ventures,” Travers clarified. “It’s Bitcoin only.”

To watch the webinar, go to: https://www.youtube.com/live/FyJ0pMVcvMM?si=Iqj4XYOre-lB2JrK