Genius Group, the New York Stock Exchange-listed AI-powered education company, announced a capital strategy on August 27 to build separate Bitcoin and artificial intelligence treasuries valued at a combined $1.6 billion by the end of fiscal year 2031. The plan aims for total company assets of $2 billion over the same period, funded primarily through perpetual preferred securities rather than ordinary share issuance.

The company intends to draw on its existing $1.2 billion shelf registration, which the Securities and Exchange Commission declared effective in July 2025. An initial offering of non-convertible perpetual preferred securities targets $12.5 million. Proceeds would be allocated across the Bitcoin treasury, the AI treasury, and a U.S. dollar cash reserve covering roughly 18 months of preferred dividend payments. Final terms, including dividend rate, issue price, size, and timing, remain subject to board approval, regulatory requirements, and market conditions. Discussions with investment banks experienced in preferred securities and digital asset treasury financing are underway.

Shift Away From Equity Dilution

Management described perpetual preferred capital as the primary future funding tool, reducing reliance on the company’s ordinary share at-the-market program. Shareholders granted the necessary authority at the July annual meeting, with approximately 97.58 percent supporting preferred share issuance and 99.54 percent approving a mandate to repurchase up to 20 percent of ordinary shares.

Genius Group currently reports net assets of $106.6 million, or $0.62 per ordinary share. Its shares closed at $0.18 on August 26, representing about 0.29 times book value. The company projects that successful execution of the financing, asset accumulation, and buyback plans could lift net asset value per share to a range of $2 to $4 over five years, depending on market conditions and the performance of Bitcoin and AI holdings.

Bitcoin Holdings History and Restart Timeline

Genius Group first adopted a Bitcoin-first treasury strategy in November 2024, aiming to hold at least 90 percent of reserves in the asset and launching an initial $120 million purchase program. Holdings reached a peak of 440 BTC by February 2025. A U.S. court order related to an asset purchase agreement restricted the company from raising funds or issuing shares, forcing progressive sales that reduced the position to approximately 84 BTC by February 2026.

In the first quarter of 2026 the company liquidated its remaining Bitcoin holdings to help repay $8.5 million in debt. The sales occurred amid broader pressure on corporate digital asset treasuries. Management stated at the time that it would rebuild the position when conditions improved. Under the new plan, Bitcoin purchases are scheduled to resume in the fourth quarter of 2026, with a long-term target of $827 million in Bitcoin treasury assets.

Parallel AI Treasury Development

The second pillar is an AI treasury, formally authorized by the board in May 2026 with an initial investment capacity of up to $100 million. First allocations occurred in June through funds offering exposure to private companies including OpenAI, Anthropic, Anduril, Databricks, and SpaceX, along with positions in Destiny Tech100 and the Fundrise Innovation Fund. The long-term target for this portfolio stands at $800 million by fiscal 2031.

Together the Bitcoin and AI treasuries are expected to form the bulk of the $1.6 billion dual-treasury goal, with operating businesses, cash, and other holdings making up the balance of the $2 billion total-asset target.

Preferred Structure and Market Precedents

The proposed securities have no fixed maturity and would carry a variable monthly dividend. Excess returns above the dividend cost would accrue to ordinary shareholders’ net asset value; shortfalls would leave preferred claims senior. Genius Group cited the financing model used by Strategy, which has raised more than $16 billion through multiple series of perpetual preferred stock since early 2025, and by Strive Asset Management, which has raised more than $150 million via similar instruments.

Risks identified by the company include Bitcoin price volatility, changes in private technology valuations, financing costs, and capital availability. Any offering will require separate SEC filings, and the structure remains contingent on final approvals and market reception.