Institutional Reference
What is Bitcoin per share and how should I think about it?
Bitcoin per share (BPS) is satoshis per diluted share — the metric that tells you whether capital-markets activity is making each share more or less Bitcoin-backed over time. Equity issued at a premium to mNAV and converted into Bitcoin raises BPS. Equity issued at a discount or debt the cash flows cannot service lowers it.
Published by Satoshi InstituteLast updated
Why this question gets asked
BPS is increasingly cited in earnings materials but rarely defined precisely. Investors want a single scoreboard.
Common Treasury v1 question
“What is Bitcoin per share and how should I think about it?”
Reframe
Better Treasury v2 question
“Is rising Bitcoin per share funded by accretive issuance or by leverage that fails stress testing?”
BPS is increasingly cited in earnings materials but rarely defined precisely. Investors want a single scoreboard.
What decision-makers should watch
- BPS trajectory across multiple quarters, fully diluted
- Source of BPS growth: issuance, cash flow, or debt
- Stress-test result at current BPS funding mix
- Cash-flow coverage of any debt issued to grow BPS
Related questions
- What is mNAV and why does it matter for a Bitcoin treasury company?
- Is dilution always bad for a Bitcoin treasury company?
- Should a Bitcoin treasury company use leverage to buy more Bitcoin?
- How do convertible bonds work for a Bitcoin treasury company?
- How do you grade Bitcoin treasury companies beyond holdings?
Satoshi Institute view
BPS is necessary, not sufficient. A rising BPS funded by unsurvivable leverage is still unsurvivable.
Cross-reference the institutional glossary, RARTA, SRF, and BEOL.