Australia-based biotech Propanc Biopharma has announced a major step into the digital asset space with plans to establish a crypto treasury.
The company revealed it has secured up to $100 million from Hexstone Capital, a crypto-focused family office, through a private placement structured as convertible preferred stock.
An initial $1 million investment will be provided immediately, with follow-on funding potentially reaching $99 million over the next 12 months.
Propanc plans to use the proceeds to develop a digital asset treasury while accelerating the development of its lead cancer therapy, PRP.
The company aims to move PRP into first-in-human trials in the second half of 2026.
Propanc CEO James Nathanielsz described the move as transformative for the company, stating it would strengthen the balance sheet and advance its proenzyme-based oncology platform.
Nathanielsz said: "We can target not only patients suffering from metastatic cancer from solid tumors, but several chronic diseases based upon the mechanism of action of proenzyme therapy."
While the company has not disclosed which cryptocurrencies it will purchase, Hexstone Capital’s clients have invested in assets ranging from Bitcoin, Ether, Solana, and Injective to lesser-known tokens.
Biotech Companies Turn to Crypto
Propanc joins other biotech firms, including Sonnet BioTherapeutics and Sharps Technology, that have explored crypto strategies to attract investor interest.
Despite the strategic announcement, Propanc’s stock reaction was negative.
Shares of PPCB fell 10.5% on the Nasdaq on Monday, contributing to a 46.7% decline over the past month.
The downturn reflects a broader trend in corporate crypto treasuries, which have faced challenges in recent months.
Bitcoin-holding companies have seen significant market value declines.
For instance, Strategy, the largest corporate Bitcoin holder, saw its market capitalization drop more than 43% from $122.1 billion in July to $69.1 billion today.
Metaplanet, another major player in the space, has lost roughly 55% since late June, with some firms forced to sell BTC to cover debts.
Propanc’s move highlights the growing, albeit risky, interest in crypto strategies among biotech firms.