The Bitcoin (BTC) strategy has expanded Treasury Company, which it has provided twice since the issuance of corporate security on July 22.

The company announced a market offer of $ 4.2 billion of changing stocks from the interest A Series A Perpetual Stretch (STRC), a safety for hybrid companies, to buy more BTC on Thursday.

STRC is a safety that pays profits with variable returns that does not have a specific due date and can be called or recovered by the company under specific conditions, which makes the payment conditions flexible, according to Thursday’s announcement.

The company launched STRC in July, linking each share of corporate security to $ 100, and was initially seeking a $ 500 million capital increase.

The strategy expanded the scope of the increase to 2 billion dollars two days after the STRC was launched to choose investors through an initial public offer (IPO), and it bought more than 21,000 BTC with the following funds.

Its debts and bicco of BTC still fed by stocks divide the encryption and investment community. Some analysts have argued that the strategy and other BTC Treasury plays are bubbles awaiting an explosion, which may create repercussions in the encryption markets.

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Investor lawsuits against the strategy accumulate

Many law firms have brought against the company on behalf of the prosecutors who claim that the company has offended the risk of bitcoin volatility and expected profits.

Cointelegraph spoke with many lawyers, who were divided into the essence of claims and said that the lawsuits may take years to solve them.

“Prosecutors claim that profitability was exaggerated and that the risks were reduced, and not that these things were completely absent from disclosures,” Lawyer Brandon Ferik told Cointelegraph.

Many lawsuits included similar claims, that is, the use of the strategy for alternative financial standards was deceptive, which allowed the company to hide the financial losses that may be clear if different accounting methods were used.

“The company has presented many new major performance indicators (KPIS) – BTC LIMP, BTC Gain and BTC Dollar – to measure its financial results,” said one of the collective claims.

The co -founder of the strategy and Bitcoin lawyer, Michael Sailor, has presented criticism of the company’s business model, on the pretext that the strategy is a wrong institution.

“We have benefited from the most technology and its origins in the history of mankind, on the other hand, we may be the most misunderstanding and lowest shares in the United States and perhaps the world,” said Silor during the company’s last profit call.

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