Genius Group, a Singapore-based education company, has cleared a critical legal hurdle to advance its ambitious Bitcoin and AI treasury expansion plans.
The U.S. Court of Appeals for the Second Circuit vacated a preliminary injunction that previously restricted the company’s ability to issue shares, raise capital, and purchase Bitcoin. The August 31 ruling lifts the injunction and refers the case back to the Southern District of New York.
Following this development, Genius announced a five-year capital strategy targeting an $827 million Bitcoin treasury, an $800 million AI portfolio, and total assets projected to reach $2 billion by fiscal 2031.
Chief Executive Roger James Hamilton stated the company sees Bitcoin and AI entering new growth cycles and intends to leverage permanent capital to expand exposure to both asset classes.
The company plans to issue $1.2 billion in Bitcoin-backed preferred securities, modeled after Michael Saylor’s Strategy’s STRC framework, to fund purchases while preserving common shareholder value. These securities, now exceeding $13 billion in market value, enable long-duration asset funding with minimal dilution to ordinary shareholders.
Proceeds will support Bitcoin acquisitions, AI investments, and a cash reserve sufficient to cover approximately 18 months of preferred dividends. Returns above the preferred dividend rate will flow to common shareholders.
The initial fundraising phase begins with a $12.5 million issuance, representing 1.5% of the $827 million Bitcoin target before allocation to AI or dividend reserves.
Genius reported $106.6 million in net assets and no third-party debt as of June 30. The final terms, pricing, and timing remain subject to market conditions and board approval.
Bitcoin Treasury Rebuild Amid AI Portfolio Expansion
Genius’s strategy diverges across its two primary assets: one requiring rebuilding and the other already underway.
The company initially embraced Bitcoin treasury management in 2024, accumulating 440 BTC at its peak. Legal constraints on fundraising and share issuance prompted a reversal, leading to Bitcoin liquidation and debt repayment in April, excluding further Bitcoin holdings.
Genius intends to resume Bitcoin purchases in the fourth quarter, though specific acquisition targets remain unannounced.
Its AI initiative, the AGI Infinity Portfolio, launched in May and secured its first investment in June, granting exposure to pre-IPO opportunities in OpenAI, Anthropic, SpaceX, Anduril, and Databricks.
The company is deploying an initial $100 million across pre-IPO funds, infrastructure investments, and businesses poised to benefit from broader AI adoption.
The image below illustrates Genius’s capital strategy, highlighting the $827 million Bitcoin objective, proposed $12.5 million initial raise (1.51% of Bitcoin target), and current Bitcoin exposure status.
