ProCap Financial, the publicly traded Bitcoin treasury firm led by crypto investor Anthony Pompliano, is aggressively buying back its own shares as its stock price has plummeted 85% from its peak. The company repurchased 148,241 shares of its stock, ticker BRR, valued at nearly $359,000, as part of a strategy to align its market value with the underlying value of its Bitcoin holdings.
The firm's market capitalization stands at just under $202 million, significantly below its net asset value (NAV) of approximately $305 million. This NAV is calculated from its cash and Bitcoin reserves, minus convertible debts. ProCap holds 5,007 Bitcoin, valued at around $325 million. "We were able to buy $1.00 of our stock for approximately $0.65 last week," said Pompliano, the firm's chairman and CEO. "We plan to aggressively buy as much of our stock as we can as long as the market will sell us shares at a substantial discount to NAV."
The share buyback program was authorized in December 2024, and the company has since repurchased about 2% of its outstanding shares. Pompliano personally committed $1 million to buy company stock in December, stating that "skin in the game is essential for leaders." His compensation is tied to the stock price; he receives a $1 salary and no equity compensation unless BRR shares reach $15, which would require a 520% surge from recent levels.
The dramatic decline in BRR's share price is linked to broader market conditions. Shares closed at $2.42, down 76% over the last six months. This mirrors a sector-wide trend where digital asset treasuries (DATs) now trade below their net asset value, a reversal from historical premiums. The price of Bitcoin itself has fallen nearly 49% from an October peak above $126,000, recently trading around $64,888.
ProCap's strategy highlights a maturation in the corporate Bitcoin treasury model, moving beyond simple accumulation to active capital management aimed at creating shareholder value during market downturns.
