ProCap Financial ($BRR) sold about 50 Bitcoin and bought back 2.2% of its shares outstanding at a discount to NAV.
Since DKI established a position last month, the company has repurchased more than 4% of its shares outstanding which helped narrow the discount to NAV from 33% at the time of our initial purchase to the current 12%. I support these buybacks and believe they demonstrate that management is shareholder-oriented.
$BRR is up 82% since we bought it in August despite the recent decline in the dollar price of Bitcoin due to increasing Treasury yields. I’ll note that Treasury yields have increased due to legitimate concerns about the constant expansion of the money supply and not due to Fed rate hikes. We’re likely to get a 25bp hike later today, but long-term yields have been increasing since the Powell Fed started cutting the fed funds rate two years ago. Chairman Warsh can’t change that.
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