BTCS ethereum block builder gains direct order flow from MetaMask

Published 02/07/2025, 14:34
BTCS ethereum block builder gains direct order flow from MetaMask

SILVER SPRING, Maryland - BTCS Inc. (NASDAQ:BTCS), a blockchain technology company with a market capitalization of $47 million, announced Wednesday that its block builder surpassed 2.7% market share of all Ethereum network transactions during Q2 2025, enabling it to qualify for direct order flow from MetaMask, the Ethereum wallet with over 100 million users. The company’s stock has shown remarkable strength, delivering a 65% return over the past year despite recent market volatility. According to InvestingPro, analysts anticipate significant sales growth in the current year.

The MetaMask integration, which took effect July 1, represents a significant milestone for BTCS’s Builder+ block building business. The company also secured four additional order flow partnerships during Q2, including Blink, Kolibrio, Cowswap, and Copium. With a current ratio of 43.4, InvestingPro data shows BTCS maintains strong liquidity with liquid assets well exceeding short-term obligations.

"Since entering the builder market in 2024, we’ve faced a classic chicken-and-egg dilemma," said Charles Allen, CEO of BTCS. "You can’t secure meaningful order flow unless you’re building a large volume of blocks and control block space—and you can’t build profitable blocks without that order flow."

The company expects to report record-high revenue for the second quarter, though it acknowledged that efforts to control block space and win order flow partners will negatively impact margins in the near term.

BTCS aims to address margin pressure through continued scaling of operations, focusing on enhancing its technology stack, increasing order flow, and controlling block space.

The company operates validator nodes across multiple proof-of-stake networks and has developed ChainQ, an AI-powered blockchain data analytics platform.

This article is based on information from a company press release.

In other recent news, BTCS Inc. reported a substantial increase in its Ethereum holdings, acquiring an additional 3,450 ETH valued at approximately $8.42 million. This acquisition was made using funds from recent financings, with an average purchase price of $2,441 per ETH, bringing the company’s total ETH holdings to about 12,500 units. Furthermore, BTCS recently secured $7.8 million through the issuance of senior secured convertible notes and warrants, with the transaction disclosed in a recent SEC filing. The convertible notes have a 24-month maturity and accrue a 6% annual interest rate, with H.C. Wainwright & Co., LLC acting as the exclusive placement agent for the offering. Additionally, BTCS acquired 1,000 ETH for $2.5 million through borrowing on the AAVE platform, increasing its ETH holdings to approximately 14,600 units. The company plans to use these assets to expand its NodeOps business and staking operations. BTCS also held its Annual Meeting of Shareholders, where board members were elected, and the company’s independent auditor for fiscal year 2025 was ratified. These developments underscore BTCS’s ongoing strategic focus on expanding its digital asset portfolio and strengthening its financial foundation.

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