Anthony Pompliano to Lead $750M Bitcoin-Buying SPAC Merger
Cryptocurrency entrepreneur Anthony Pompliano is reportedly preparing to lead a new Bitcoin investment company aiming to raise $750 million, the Financial Times reports. The venture involves a merger of ProCapBTC, a new Special Purpose Acquisition Company (SPAC), and Columbus Circle Capital 1.
$750M Bitcoin Bet Through ProCapBTC
Pompliano is to be appointed as CEO at ProCapBTC, which plans to raise $250 million equity and $500 million convertible debt. The deal is under negotiation and has not been completed yet. If completed, next week might witness the announcement being made.
The SPAC merger is with Columbus Circle Capital 1, a blank check company that has a listing on the New York Stock Exchange. Columbus Circle was formed for the purpose of performing mergers and acquisitions, particularly in new or emerging industries.
Cohen & Company Behind Columbus Circle Capital
The sponsor of Columbus Circle, Cohen & Company Capital Markets (CCM), is a JVB Financial Group subsidiary. CCM has been active in the space of digital assets, and their services include crypto-related audit, advisory, and tax compliance.
The investment bank has experience as the backer of crypto and blockchain startups and therefore would be suitable as a sponsor for this highly publicized Bitcoin-focused SPAC.
Pompliano’s SPAC Track Record
The action is only a few days after Pompliano created ProCap Acquisition, another fintech SPAC. Listed on Nasdaq under ticker PCAPU, the company raised $250 million in its May IPO.
PCAPU shares have risen sharply since then, up from June 1’s close of $10.60 to a high of $11.40 before closing at $11.30 by Thursday.
Waiting to be confirmed
So far, Pompliano has not made the ProCapBTC merger public.
If finalized, this SPAC-backed Bitcoin fund would be among the biggest such endeavors in the crypto world to date.
