Genius Group plans $2B dual treasury after selling all Bitcoin

Genius Group to rebuild Bitcoin holdings with preferred stock

Genius Group, an NYSE-listed company focused on AI and education, announced a plan to buy Bitcoin again just months after selling its entire reserve.

The company stated it wants to build parallel treasuries for AI and Bitcoin worth a combined $1.6 billion. The broader goal is to reach $2 billion in total company assets by fiscal year 2031.

This move comes after Genius Group liquidated all its Bitcoin in April to pay off $8.5 million in debt. The sale happened at a loss, leaving the company with no crypto holdings at the time.

Key numbers behind the new plan

• $1.6 billion: Target size for the combined AI and Bitcoin treasuries.
• $2 billion: Total company asset target by fiscal year 2031.
• $12.5 million: Initial fundraising target through Perpetual Preferred Securities.
• $8.5 million: Debt amount repaid using proceeds from the April Bitcoin sale.
• 18 months: Duration of dividend payments the company plans to cover with a cash reserve.

How the funding will work

Unlike previous strategies that relied on selling company shares, Genius Group intends to use a new type of investment called "Perpetual Preferred Securities." This is a form of preferred stock that does not have a set maturity date, meaning the company does not have to repay the principal amount on a specific date.

The company has a $1.2 billion shelf registration already cleared by the SEC, which allows it to issue these securities quickly. The initial raise will target $12.5 million, with proceeds split between the AI treasury, the Bitcoin treasury, and a cash reserve for dividends.

CEO Roger James Hamilton stated that any returns from these treasuries above the preferred dividend rate would flow directly to ordinary shareholders' net asset value.

A strategy borrowed from industry leaders

Genius Group's approach mirrors the tactics used by Strategy, the largest corporate holder of Bitcoin. Strategy has raised over $16 billion using similar perpetual preferred stock offerings to fund its Bitcoin purchases. Nasdaq-listed Strive Asset Management has also raised more than $150 million using the same method.

By switching to preferred stock as its primary funding tool, Genius Group aims to reduce its reliance on its ordinary share ATM (At-The-Market) program, which involves selling existing shares on the open market.

From accumulation to liquidation

Genius Group first adopted a "Bitcoin first" strategy in late 2024. Its holdings grew to 440 BTC by February 2025. However, a court order blocked the company from raising funds or issuing new shares, forcing it to sell assets to meet obligations.

The company sold roughly 86 BTC in a single month during that period, leaving it with about 84 BTC by February 2026. It has since sold the remainder entirely.

Why this shift matters

The announcement highlights a pivot in how smaller public companies are approaching crypto treasuries. After a period where several digital asset treasuries struggled due to falling crypto prices and debt pressures, Genius Group is returning to the market with a different financial structure.

Instead of diluting existing shareholders through equity sales, the company is using debt-like instruments (preferred stock) to buy Bitcoin and AI assets, aiming to generate returns that benefit ordinary shareholders.

What is confirmed

• Genius Group sold all its Bitcoin in April 2026 to pay $8.5 million in debt.
• The company announced a plan to rebuild a Bitcoin treasury alongside an AI treasury.
• Funding will come from Perpetual Preferred Securities, not ordinary share sales.
• The initial target is to raise $12.5 million.

Sources

• Bitcoin Magazine