BlackRock has reinforced its Bitcoin strategy by increasing its stake in Michael Saylor’s company, Strategy, to 5%, signaling continued institutional confidence in the cryptocurrency market.

A filing with the U.S. Securities and Exchange Commission (SEC) on Feb. 6 confirmed the move, pushing Strategy’s stock price up by 2.8% in pre-market trading to $325, according to Google Finance. Strategy, formerly known as MicroStrategy, holds the largest corporate Bitcoin reserve, boasting 471,107 BTC—valued at approximately $48 billion.

BlackRock’s increased involvement came just a day after Strategy underwent a rebranding, aligning its corporate identity more closely with its Bitcoin-focused vision. Despite Bitcoin’s recent dip below $100,000, both BlackRock and Strategy remain committed to long-term BTC accumulation.

Despite reporting a $670 million net loss in Q4 2024, Strategy remains focused on its aggressive "21/21 Plan," aiming to deploy $42 billion into Bitcoin purchases over the next three years through a mix of equity and fixed-income securities. The firm has already secured $20 billion, primarily through debt instruments.

Meanwhile, BlackRock’s Bitcoin exchange-traded fund (ETF) continues to dominate the market. As of Jan. 31, it ranked as the world’s 31st-largest ETF, controlling over $55.5 billion in assets and accounting for nearly half of all U.S. spot Bitcoin ETF holdings.

Beyond institutional players, Bitcoin adoption in the U.S. is expanding into legislative circles. Kentucky became the 16th state to introduce Bitcoin reserve legislation, following Illinois' recent proposal for a long-term BTC investment strategy. With growing state-level interest, regulatory agencies may soon face critical decisions on Bitcoin’s classification as a public reserve asset.