Bitcoin's current downturn fits the profile of a classic but mild bear market, according to Strive executive Matt Cole. Speaking on the Bitcoin Magazine Podcast on June 10, Cole stated that the asset is already in a bottoming process. He emphasized that the fundamentals around Bitcoin have never been stronger, pointing to growing institutional adoption, ETF distribution through retirement accounts, improving regulation, and the rise of digital credit products.

Cole expects Bitcoin could move back above $80,000 and potentially return to six figures later this year. He highlighted that BTC-backed digital credit products represent a new source of capital entering the ecosystem. The demand for these instruments is not primarily coming from investors selling Bitcoin, but from fresh capital seeking yield.

Digital Credit and Yields

The emergence of digital credit products is seen as a mechanism to make future bear markets less severe. Cole noted that retail investors and independent financial advisers have led early adoption, similar to how retail investors embraced Bitcoin before institutions. He mentioned specific products in the market, including Strive's (NASDAQ: SATA) 13% dividend and Strategy's (NASDAQ: STRC) 11.5% dividend.

These yields can help investors beat fiat debasement while gaining exposure to Bitcoin-backed balance sheets.

Critique of Fiat Systems

Cole argued that the long-term case for Bitcoin remains rooted in the failure of fiat currencies and rising debt burdens. "The fiat system, I think, has basically terminal cancer," he said. He contended that fixed income and the traditional 60/40 portfolio are structurally challenged because investors are buying debt during a debt crisis. In his view, digital credit could become a replacement for part of the income sleeve in portfolios by offering yield without relying on traditional government or corporate debt.

Solana Foundation President Lily Liu announced that tokenized shares of SpaceX will be available on the blockchain immediately following the company's public listing. During an interview with CNBC, Liu stated that the shares will be globally accessible via tokenization platforms, including Ondo Finance, xStocks, and Backpack Securities. This initiative aims to bridge traditional equities with decentralized finance, allowing crypto investors to gain exposure to the space giant.

Platforms and Availability

Ondo Finance confirmed the asset will be listed as SPCXon. The platform already hosts over 200 assets, including "Mag 7" stocks like Nvidia Corp. and Microsoft Corp. However, Ondo Finance's platform is not currently available to users in the U.S. Similarly, xStocks will offer a cryptocurrency derivative of SpaceX, trading under the ticker $SPCXx, on the Solana-based decentralized exchange Trojan Trading. xStocks provide price exposure to equities without conferring direct ownership and are also unavailable in the U.S.

Backpack Securities teased the launch of SPCX, a tokenized version of SpaceX equity, on the Sunrise decentralized finance platform. The firm stated it would facilitate the movement of SpaceX shares between traditional brokers and the Solana blockchain.

Broader Market Context

The move comes as competition intensifies to provide access to SpaceX's initial public offering (IPO) for cryptocurrency enthusiasts. Cryptocurrency exchange Bybit recently announced a similar tokenized offering. Additionally, perpetual futures have been launched by exchanges such as Coinbase, Binance, and Hyperliquid, allowing eligible traders to speculate on SpaceX's implied valuation and expected share price prior to the IPO.

SpaceX is preparing to launch its highly anticipated IPO on Friday. The company is reportedly aiming to raise $75 billion and is targeting a valuation of roughly $1.77 trillion.