Coin Stories – Adam Back Part 1: From Cypherpunk to Corporate Bitcoin Treasury Leader

Date: September 30, 2025
Host: Natalie Brunell
Guest: Adam Back, CEO of Bitcoin Standard Treasury Company (BSTR)

Episode Overview

In this in-depth conversation, Natalie Brunell welcomes cypherpunk legend and CEO of the Bitcoin Standard Treasury Company, Adam Back, to discuss the evolution of Bitcoin as a corporate treasury asset. Adam shares his journey from early personal investing to structuring one of the largest bitcoin corporate treasuries. The episode dives into why companies are adopting bitcoin as a reserve asset, the innovations and risks in the emerging bitcoin treasury ecosystem, and responses to critiques from the Bitcoin community.

Main Discussion Points & Insights

1. Adam Back’s Bitcoin Treasury Thesis and Career Arc

Timestamps: 00:00–03:42

• Bitcoin as the Ultimate Hurdle Rate:
  Adam argues that “If you can’t outperform bitcoin, you should stop and buy bitcoin.” (00:00)
  He suggests that for corporate cash reserves, holding bitcoin is a logical step, given its historic performance.

• Founding BSTR:
  Adam describes his transition from advising management teams of treasury companies to leading his own, assembling early bitcoiners, and executing a rapid SPAC process.

  "Myself and a few early bitcoin investors put together process. I think the whole process took 36 days from kickoff with Cantopitzgerald to the initial phase wrapped up." (02:36)

• Legal Structure and Transparency:
  Moving fast while ensuring SEC filings and regulatory compliance, Adam encourages listeners to review BSTR’s filings for transparency.

2. The Genesis of Corporate Bitcoin Investment

Timestamps: 05:22–13:00

• Michael Saylor and MicroStrategy’s Pioneering Role:
  Michael Saylor’s high-conviction shift to bitcoin inspired Adam’s journey. Saylor’s concern: inflation eroding corporate reserves.

  "He got pretty concerned during COVID that, wait a minute, that 500 million next year it's going to be 425 in inflation adjusted terms...Run that for 10 years and we will have lost 90 plus percent of the spending capacity." (08:26)

• Community-Driven Support:
  Adam notes the grassroots nature of bitcoin adoption and discusses why he and other bitcoiners started buying MicroStrategy shares to support the strategy.

  "If the traditional finance doesn't believe we do, we'll buy the shares and, you know, we'll provide a kind of...good shareholders, basically." (15:16)

3. Bitcoin as Corporate Hurdle Rate & Investment Vehicle

Timestamps: 13:00–21:22

• Bitcoin as the Benchmark:
  Adam explains the rethinking of corporate finance “hurdle rates,” suggesting bitcoin is the new standard to beat.

  "Bitcoin's the hurdle rate...If you can't outperform Bitcoin, you should stop and buy Bitcoin." (13:56)

• Swing Trading with Bitcoin Treasuries:
  He outlines swing trading between bitcoin and treasury companies like MicroStrategy, using NAV metrics for entry and exit points.

  "So it occurred to me that you could...sell some Bitcoin and buy it when you think the M Nav is low. And then...sell the MicroStrategy shares and buy back your own Bitcoin at a higher price, but end up with a few more Bitcoin than you started with." (16:56)

• International Case Study – Meta Planet (Japan):
  Adam relates how high local taxes on bitcoin led to unique arbitrage and high volatility with Japanese-listed Meta Planet shares.

  "Japan, Japan is extremely active in retail trading...and there's a disadvantage to buying spot bitcoin because of the capital gains tax there. So you have even more activity in the equities." (21:14)

4. Market Volatility, Risks, and Strategies of Treasury Companies

Timestamps: 24:55–37:32

• NAV Compression & Hedge Fund Shorting:
  Adam addresses recent bearish sentiment and price drops, including hedge fund Jim Chanos’s short/long strategies on MicroStrategy and bitcoin.

  "[Chanos] thought the market had mispriced, wasn't disagreeing with the principles...So he's trying to bet that the MNEF will fall." (31:14)

• Innovative Fundraising Instruments:
  MicroStrategy’s evolution: bonds, ATMs, convertible notes, preferreds, and money-market style products for raising capital to buy bitcoin. BSTR leverages these innovations for their own capital structure.

  "They transitioned from different fundraising methods...initially the bonds...then that Silvergate loan...after that they moved on to at the market sales and convertible notes..." (32:03)
  "We jumped straight to the preferred. So effectively we were benefiting from their experience." (42:32)

5. BSTR’s Unique Approach & Scale

Timestamps: 37:32–48:19

• SPAC Structure & Bitcoin-Denominated Fundraising:
  Adam details their use of a SPAC, equity and bitcoin-denominated PIPEs (private investments in public equity), and a tax-advantaged method for US holders.

  "We did a second pipe which was novel in being bitcoin denominated. So people with bitcoin could invest into the pipe with bitcoin." (39:15)

• Seeding BSTR with 25,000 Bitcoin from OGs:
  The company is founded with significant “skin in the game” from Adam and other early bitcoiners, vaulting BSTR immediately among the largest bitcoin corporate treasuries in the world.

  "We made a new company, BSTR, and put Bitcoin in it. So that has 25,000 Bitcoin in it as well." (44:52) "There are other early bitcoin investors as well." (45:16)

• Comparison to Other Treasury Companies:
  Unlike others who “come to Wall Street with no founder equity,” BSTR’s founders seeded the treasury directly with their own bitcoin.

6. Critiques of Corporate Bitcoinization and the Cypherpunk Ethos

Timestamps: 48:19–54:17

• Community Skepticism of Institutionalization:
  Adam addresses concerns from bitcoiners skeptical of Wall Street and corporate structures, distinguishing the treasury company model as a novel application for accumulating capital for bitcoin exposure.

  "Some people have a kind of, they don't like the banks or something, right. And so they suspicious of people that wear suits to work and people that are operating companies, big companies, things like that. Whereas for me...capital formation, public and private companies are a huge part of what, you know, got humanity to the current state." (52:44)

• Free Markets and Anarcho-Capitalist Roots:
  As a cypherpunk, Adam remains committed to open markets and innovation, seeing corporate treasuries as a positive for Bitcoin’s adoption — as long as users understand the risks and complexity involved.

  "Ultimately my view is there's nothing that suspicious about a company. It's just a group of people with a shared enterprise." (53:19)

• Emphasis on Education and Transparency:
  He notes that all company documents are public and encourages due diligence.

7. Final Insights and Takeaways

Timestamps: 54:17–57:49

• Yield and Active Management:
  BSTR specifically aims to generate yield on bitcoin holdings through diversified, hedged strategies, distinguishing itself from buy-and-hold entities.

  "BSTR...be actively managed to try to achieve a yield on Bitcoin, to do hedged alpha strategies that are diversified to manage the bitcoin and create a net return separately from the capital markets." (54:54)

• Adam’s Trading Background:
  Adam reminds listeners he has always been a trader and sees no conflict with his bitcoin ethos.

  • Parting Advice:

    "Just keep stacking and holding. I think, you know, people should do what's safe and not take risks that they don't have long term confidence in." (57:25)

Notable Quotes

• Adam Back:

  "If you're doing any other form of investing, that's long term. If you can't outperform bitcoin, you should stop and buy bitcoin." (00:00)

  "They [MicroStrategy] kept doubling down...you'd think they got to be tapped out and they just kept going." (12:24)

  "Bitcoin's the hurdle rate...If you can't outperform Bitcoin, you should stop and buy Bitcoin." (13:55)

  "There's nothing that suspicious about a company. It's just a group of people with a shared enterprise." (53:19)

  "Just keep stacking and holding. People should do what's safe and not take risks that they don't have long term confidence in." (57:25)

• Natalie Brunell:

  "It's hard to believe that was five years ago, August 2020. And what a transformation. [Saylor’s] now the ultimate speaker and educator for bitcoin." (11:31)

Key Segment Timestamps

• 00:00 – 03:42: Adam’s personal investment journey & BSTR’s founding
• 05:22 – 13:00: Inspiration from MicroStrategy and the influence of Michael Saylor
• 13:00 – 21:22: Bitcoin as a corporate benchmark and international equities case study
• 24:55 – 37:32: Treasury stock NAVs, shorting, and financial instrument innovation
• 37:32 – 48:19: SPAC structure, bitcoin-denominated investments, and seeding BSTR
• 48:19 – 54:17: Community skepticism; discussing “Wall Street bitcoin” vs. cypherpunk roots
• 54:17 – 57:49: Yield strategies, Adam’s trading philosophy, and closing thoughts

Memorable Moments

• 21 investor meetings in one day:

  "I think the most hectic day was we had 21 meetings in one day, that half an hour each...It was just back to back to back to back to back. So it was quite intense but fun." (55:41)

• Seeding BSTR with OG bitcoin:

  "We made a new company, BSTR, and put Bitcoin in it. So that has 25,000 Bitcoin in it as well." (44:52)

Summary for Listeners New to the Episode

This episode provides a masterclass in bitcoin as a corporate treasury asset. Adam Back demystifies how corporate bitcoin treasuries work, their appeal and risks, and how these vehicles mark a new phase in bitcoin’s financialization. Listeners get both high-level philosophical context (the cypherpunk roots, market skepticism) and practical insights on trading, NAV strategies, financial instrument innovation, and compliance. Adam’s direct experience building BSTR and his nuanced reflections on the tradeoffs of institutionalization make this a must-listen for everyone interested in bitcoin’s next chapter.