Canadian cryptocurrency firm Luxxfolio Holdings Inc. has filed a preliminary shelf prospectus to raise up to $73 million (CAD$100 million) to expand its Litecoin-focused treasury strategy. The company, which recently pivoted from Bitcoin mining, aims to acquire up to 1 million LTC by 2026, positioning itself as a major institutional holder of Litecoin.
Litecoin creator Charlie Lee has joined Luxxfolio's advisory board, lending credibility to the strategy. CEO Tomek Antoniak stated the capital raise provides "financial flexibility" to scale operations and accelerate Litecoin adoption, emphasizing that "scale is critical" for capturing market share.
Despite these ambitions, Luxxfolio faces significant financial challenges. The company reported a Q2 net loss of $197,000 (up from $8,000 year-over-year) and has accumulated nearly $19 million in total losses since 2017. With only $112,000 cash on hand, management has expressed "significant doubt" about the company's ability to continue without new funding.
The funding initiative comes amid growing institutional interest in dedicated cryptocurrency treasury vehicles, with separate reports of Galaxy Digital, Jump Crypto, and Multicoin Capital planning a $1 billion Solana treasury bet, and Pantera Capital preparing to raise up to $1.25 billion for a similar Solana-focused vehicle.