Investment products targeting the fixed income market have acquired more than 0.5% of Bitcoin’s supply as of October 5. Research from Fidelity Digital Assets shows that perpetual preferred stocks, including instruments such as STRC and SATA, funded the purchase of 135,979 BTC in just over a year, representing 0.65% of the coin’s maximum supply of 21 million.
Fidelity describes these stocks as a new demand catalyst, noting they represent about $12B of a $150T global fixed income market. The firm stated that even modest adoption of these and other Bitcoin-adjacent products in the fixed income space could materially reshape the cryptocurrency’s supply-demand dynamics and long-term value.