According to Anthony Pompliano, Bitcoin is held in escrow—meaning it is placed in custody or trust—until the merger with Columbus Circle Capital I Corp. closes. With this method, investors get early exposure to fluctuations in the price of Bitcoin.Why It Matters: Anthony Pompliano’s comments come after ProCap acquired 3,724 Bitcoins valued at $395.62 million within a day of announcing a $1 billion business merger and raising more than $750 million.

The firm would combine with Columbus Circle through a Special Purpose Acquisition Company, resulting in a public listing under the name ProCap Financial, Inc.

An increasing number of companies have been adopting the strategy made famous by Strategy Inc., which consists of purchasing cryptocurrency and retaining it within corporate reserves.

The strategy is not restricted to Bitcoin, however. Recently, Justin Sun, a billionaire in the cryptocurrency world, unveiled intentions to make his Tron network public, incorporating the TRX token into reserves. There were also reports of a comparable scheme involving Binance’s BNB token.

Price Action: Bitcoin was trading at $106,237.68 at the time of this writing, reflecting a 1.16% increase over the past 24 hours, as per Benzinga Pro data. Year-to-date, the asset has lost 8.88% of its value.

After closing down 4.92% during Tuesday’s regular trading session, shares of Strategy fell an additional 3.07% in after-hours trading. MSTR shares rose by 2.68% during the day.

Are you in search of the top cryptocurrency stocks to include in your portfolio? You may find Benzinga Edge Stock Rankings useful, as it provides a leaderboard that categorizes stocks based on Momentum, Quality, Growth, and Value.