Genius Group Proposes $827M Bitcoin & $800M AI Treasury Plan

Financing Approach: Perpetual Preferred Securities

Genius Group has proposed raising capital through perpetual preferred securities to fund its dual-treasury plan. The company intends to use its $1.2 billion shelf registration—effective July 18, 2025—to issue publicly registered perpetual preferred securities. This financing method sits at the center of its five-year treasury strategy.

• The initial preferred securities offering would seek $12.5 million from income-focused investors.
• Proceeds would be divided among the Bitcoin treasury, the AI investments, and an 18-month dividend reserve.
• Funds from the sale would be allocated toward the Bitcoin treasury, the AI treasury, and a U.S. dollar reserve equivalent to approximately 18 months of preferred dividend payments.

Treasury Allocations for Fiscal 2031

Rather than investing the entire $2 billion target into Bitcoin and AI alone, Genius Group has set separate fiscal 2031 goals of $827 million for its Bitcoin treasury and $800 million for its AI portfolio. The remaining assets under the $2 billion plan would consist of operating businesses, cash, and other holdings.

Current Financial Position

Genius Group currently reports net assets of $106.6 million, representing a 57% year-over-year increase. The company's net asset value stands at $0.62 per ordinary share. With Genius Group closing at $0.18 on August 26, the stock was trading at approximately 0.29 times book value, compared with a 2.60-times average for the U.S. education sector.

Strategic Rationale and Market Context

Chief Executive Roger James Hamilton explained that perpetual preferred capital serves as a mechanism to fund treasury purchases without issuing additional ordinary shares. He noted that every dollar of preferred capital deployed into the Bitcoin and AI Treasury that generates returns above the preferred dividend rate flows directly to ordinary shareholders' net asset value. Conversely, if acquired assets lose value or earn less than the dividend rate, the preferred payment obligations remain senior to ordinary shareholder distributions.

Reference to Digital Asset Financing Models

Genius Group has drawn inspiration from Strategy’s Bitcoin financing program, specifically the STRK initiative launched in January 2025, which has raised more than $16 billion through four perpetual preferred stock series. The preferred securities have no fixed maturity and do not require repayment on a set date, though their dividends and senior claims still impose costs on treasury assets until excess returns reach ordinary shareholders.

AI Portfolio Development

In May 2026, the board authorized an AI portfolio with an initial investment plan of up to $100 million. The first allocation was made in June through funds providing exposure to private companies, including OpenAI, Anthropic, Anduril, and Databricks. SpaceX held the largest look-through weighting at 13.5% of the AI portfolio, followed by other AI-focused companies such as xAI, Figure AI, and Replit.