Tian Ruixiang Holdings Ltd (Nasdaq: TIRX) announced a strategic agreement with an undisclosed investor who will contribute 15,000 Bitcoin in exchange for an equity stake, valued at approximately $1.1 billion at the current Bitcoin price. The deal includes a partnership focusing on AI and crypto initiatives, with plans for an innovation lab.

If completed, Tian Ruixiang would become the world’s eighth-largest publicly traded Bitcoin treasury company. The company recently disclosed advanced talks to acquire a Hong Kong-based insurance brokerage, following a surge in its shares by 190% post-announcement, reaching an intraday market cap of about $9.5 million.

With Bitcoin’s recent pullback, publicly traded Bitcoin treasury companies like Michael Saylor’s Strategy and Twenty One Capital are facing unrealized losses. Strategy, which began buying Bitcoin in 2020, reports an average acquisition price of $76,052 per Bitcoin, while Twenty One Capital holds 43,514 Bitcoin with an average acquisition cost of $87,280 per Bitcoin.

Despite initial interest from Wall Street, Bitcoin treasury companies are facing challenges as the broader crypto market weakens. Altan Tutar, CEO of MoreMarkets, predicts that most digital asset treasuries are unlikely to survive by 2026, with altcoin-focused treasuries expected to fail first. Ryan Chow of Solv Protocol echoes this sentiment, suggesting that many Bitcoin treasury companies may not survive the next downturn.

Read more at Cointelegraph: Tian Ruixiang Says Investor to Contribute 15,000 Bitcoin for Equity