Performance Update

As of February 2025, Bursera Capital has achieved a total ROI of 1252.84%* since the fund’s inception in 2019, continuing to outperform both Bitcoin (729.11%) and the average fund‘s returns (483.06%) in the long run. Month-to-date returns of -20.38%* are currently lower than Bitcoin (-16.07%) and industry averages (-13.22%), aligning perfectly with our strategic approach. We continue emphasizing our long-term investment philosophy rather than focusing on short-term performance metrics. The opportunity to buy at preferable values allows us leeway to prevent selling short as our competitors do and instead focus on optimal entry points despite short-term adverse effects.

In the marathon of investing, we strategically position ourselves for future gains, sometimes deliberately pacing behind to capitalize on optimal entry points. This approach is fundamental to our consistent outperformance against the market, our competitors, and Bitcoin itself. While Bitcoin has outpaced us in recent years, our cumulative returns since inception remain nearly twice as high. The core mission of Bursera remains unchanged: providing round-the-clock professional management of your digital asset investments, maintaining the industry's most equitable fee structure, delivering exceptional long-term performance, and capital retention during gross market downturns.

Market News

In a week of significant market developments, President Trump announces Bitcoin and Ethereum will anchor the new U.S. Digital Asset Strategic Reserve alongside Cardano, Solana, and XRP, signaling strong government recognition of digital assets. Meanwhile, the White House hosts its first Digital Asset Summit with industry leaders, Coinbase presents six key priorities to Congress for digital asset legislation, and Strategy invests $2 billion in Bitcoin at $97,514 per coin.

Despite these positive developments, markets continue experiencing downward pressure, with Bitcoin slipping throughout February alongside broader U.S. stock market declines. The S&P 500 has erased all gains made since Trump's election, with analysts attributing these sell-offs to uncertainty created by tariff announcements and policy reversals. The recent ByBit Wallet hack resulting in a $1.5B loss in Ether has further fueled investor concerns.

Bitcoin and Ethereum to Anchor U.S. Digital Asset Reserve

In a significant development for digital asset markets, President Donald Trump has clarified via Truth Social that his planned U.S. Digital Asset Strategic Reserve will include Bitcoin and Ethereum "at the heart of the Reserve," alongside previously announced Cardano, Solana, and XRP. This marks an evolution from his January executive order, which only mentioned a "digital asset stockpile" potentially sourced from seized digital currencies.

• The Reserve will include five major digital assets: Bitcoin, Ethereum, Cardano, Solana, and XRP.
• The clarification comes after his directive to the Presidential Working Group on Digital Assets to "move forward" with creating the Reserve.
• Industry experts note that the terminology shift from "stockpile" to "reserve" could indicate a more proactive purchasing approach rather than simply holding seized assets.

White House Summit Emphasizes Increased Commitment to the Digital Asset Industry

Shortly after the strategic reserve was announced, the White House hosted its first Digital Asset Summit, signaling a growing acceptance of digital assets at the highest levels of government and bringing together industry leaders for direct dialogue on policy.

• Industry leaders Michael Saylor, Brian Armstrong, and Brad Garlinghouse were notable attendees.
• This historic gathering establishes a direct communication channel between the digital asset industry and top government policymakers.
• The diverse representation ensures balanced policy discussions with no single asset/protocol dominating the conversation.
• Bitcoin's price, which had reached $100,000 after the election before retreating, may find new support as the government's commitment to digital assets becomes more concrete.

Strategy Acquires 20,356 BTC at $97,514 Price, Totaling $2 Billion

Between February 18th and 23rd, Strategy, formerly known as MicroStrategy, acquired north of 20,000 BTC at an average price of $97,514, representing a strong vote of confidence in Bitcoin's value proposition despite the price level and the shaky economic environment in February.

• Strategy’s total holdings now reach 499,096 BTC (2.3% of Bitcoin's maximum supply)
• The average acquisition price across all BTC holdings is $66,357 per bitcoin.
• If, or more appropriately when, Bitcoin reaches its ATH, they will see a net gain of over $200 million.

Investor Skepticism Grows in U.S. and Global Markets Due to Tariffs and Other Policy Decisions

Despite the strategic reserve announcement and White House summit, Bitcoin continued to slip downwards, as has been the trend for the past month of February.

This coincides with the broader US stock market decline, with the S&P 500 erasing all gains made since Trump’s election in November. Many analysts have attributed these broader sell-offs to Trump’s tariff announcements and sudden reversals, the unpredictability of which has shaken investor confidence and increased market volatility.

• Since February 19th, the S&P 500 has declined by over 7%, while Bitcoin has decreased by 15% within the same period.
• The ByBit Wallet hack resulted in a $1.5B loss in Ether, which further fueled investor sell-offs of Bitcoin and other Digital Assets.
• The first week of March alone saw net outflows of $1.0B and $520M in BTC and Ethereum, respectively.
• White House Digital Asset Summit received a tepid reaction from investors, having little to no effect on BTC price slide.
• Protect DeFi and Digital Commerce: Allow innovation in DeFi protocols, smart contracts, and NFTs.
• This increased volatility and skepticism is viewed as a short-term development. It is important to remember that institutional investment in Bitcoin has increased by nearly 500% since 2020.

Coinbase Pushes For Increased Regulatory Clarity

Coinbase’s Chief Policy Officer, Faryar Shirzad, called on the U.S. Congress to establish clear digital asset regulations to foster innovation while protecting consumers.

He outlined the following six key priorities:

• Define Digital Assets Clearly: Differentiate between securities, commodities, and other token types.
• Grant CFTC Authority: Oversee the digital asset spot market, particularly for assets like Bitcoin and Ethereum.
• SEC Rules for Fundraising: Establish pathways for blockchain projects to raise capital responsibly.
• Stablecoin Framework: Ensure full backing and transparency of stablecoins.
• Protect DeFi and Digital Commerce: Allow innovation in DeFi protocols, smart contracts, and NFTs.
• Clarity for Centralized Entities: Regulate platforms that hold user funds to ensure trust and accountability.

Key Takeaways

• Government Digital Asset Adoption: Trump announces Bitcoin and Ethereum will be "at the heart" of the new U.S. Digital Asset Strategic Reserve, along with Cardano, Solana, and XRP.
• Regulatory Progress: Coinbase proposes six priorities to Congress for clearer digital asset regulations.
• Bitcoin Adoption Growing: Strategy buys $2 billion in Bitcoin ($97,514 per coin), now holds 2.3% of maximum supply.
• Market Pressures: Trump's Mexico and Canada tariffs caused short-term declines in digital asset markets.
• Bullish Signals: Major institutions still buying Bitcoin at high prices shows confidence in future growth. The time to buy is now.

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*Data from February 2025 subject to crystallization.