US Corporate Demand for Bitcoin Hits Historic Lows Amid Regulatory Shifts

The US corporate market has seen a significant decline in Bitcoin purchases, according to recent data from Glassnode. In March, companies purchased only 5,900 BTC, a far cry from last year's levels.

This downturn in demand is attributed to several factors, including a shortage of ETF capital and a negative Coinbase premium. Additionally, the stablecoin supply has stagnated, further contributing to weak institutional interest.

The decline in Bitcoin purchases by US companies may be related to regulatory changes made by the SEC. In September 2023, the commission issued an 'Innovation Waiver' notice that established new guidelines for on-chain stock trading.

The waiver permits eligible tokenized securities trading venues to trade certain equities via automated market maker (AMM) liquidity pools, subject to strict conditions and limitations. This regulatory shift has sparked debate over its potential impact on the industry.