How to Buy and Hold Bitcoin Through Your Business or LLC

A US company or LLC can generally buy and hold bitcoin if its operating agreement or bylaws allow it. Open an account in the entity's name using its EIN, formation documents and beneficial owner details. Get the purchase approved in writing, adopt a one-page treasury policy, and set who can buy and who approves withdrawals. Choose custody where no one person can move the company's bitcoin. Under US GAAP, the company carries it at fair value (ASU 2023-08).

Public companies such as Block report bitcoin on their balance sheets, and smaller firms hold it too. Occams Advisory, a professional services firm, went from board approval to a live treasury in 30 days. The buy itself is the easy part. The work is governance: who signs, who can move the bitcoin, what the owners approved, and what happens when people change. This guide covers that setup in order. If you're still weighing why a company would hold bitcoin at all, start with Every Company Is a Bitcoin Miner.

Seven Steps to Buy Bitcoin Through Your Company

1. Confirm the entity can hold it. Read the operating agreement or bylaws for limits on investments and for which decisions need owner or board consent.
2. Gather the verification documents. EIN, formation documents, the operating agreement or bylaws, and the names of beneficial owners and the person who will sign for the company.
3. Get approval in writing. A member consent or board resolution that authorizes the purchase, sets a limit, and names who can act.
4. Adopt a one-page treasury policy. Allocation, who can buy, who can move funds, custody, reporting, and what happens when someone leaves.
5. Choose custody. Decide who can move the company's bitcoin and what happens if that person is no longer around.
6. Set users, roles and approvals. One person starts a withdrawal and another approves it, the way a wire works.
7. Fund from the business bank account, buy, and report. Keep company money and personal money apart, and send statements to your accountant on a set schedule.

Companies and LLCs Can Hold Bitcoin When Their Documents Allow It

No US federal law stops a company from owning bitcoin. The question that matters is authority inside the company. Many LLCs are formed for "any lawful purpose," which covers holding bitcoin, but the operating agreement may still require member consent for investments or for spending above a set amount. In a corporation, the board authorizes treasury decisions and the officers carry them out. Either way, write the decision down, because the people approving it owe duties to the other owners.

Talk to counsel before you start if bitcoin would become most of what the company owns, if outside investors hold equity, if the company sits in a regulated industry, or if it's organized outside the US. Bitcoin's own classification is covered in Is Bitcoin a Commodity or a Security?.

Which Entity Fits

• An operating company you already own (LLC, S corporation or C corporation). The most common path. The company buys from cash it doesn't need for operations, and the bitcoin sits on its balance sheet next to that cash.
• A single-member LLC. By default the IRS disregards it for income tax, so gains and losses land on the owner's return. It separates the bitcoin from your personal accounts on paper, but the wrapper does nothing to secure the bitcoin itself.
• A multi-member LLC or partnership. Taxed as a partnership by default, so gains flow to the partners under the agreement. Governance matters most here: partners usually want each other's sign-off before anything moves.
• A C corporation. Gains are taxed at the 21% federal corporate rate when the company sells, with no lower long-term capital gains rate, and owners are taxed again on dividends.
• Trusts and family entities. These follow their own rules. See Holding Bitcoin in a Revocable Living Trust and What Is a Bitcoin Dynasty Trust?. Allocators such as RIAs and funds should look at Onramp Institutional.

Forming an LLC Just to Hold Bitcoin

People form a "crypto LLC" for three reasons: to pool money with partners under one agreement, to keep investment assets apart from an operating business, or to fit bitcoin into a family estate plan. The costs are real: state formation and annual fees, a registered agent, a separate tax return for a multi-member LLC, and the paperwork of keeping company and personal money apart. An LLC changes who owns the bitcoin on paper. It doesn't change who can move it. Ask your attorney and CPA whether the structure earns its cost for your situation.

What You Need Before Opening a Business Account

Every regulated platform verifies the business before it can buy, a process called business verification or KYB. Expect to provide most of this:

• Legal name, address and state of formation, matching the formation documents exactly.
• EIN, usually shown on the IRS assignment notice (CP 575) or verification letter (147C).
• Formation documents: articles of organization for an LLC, or articles of incorporation for a corporation. Some platforms also ask for a certificate of good standing.
• Operating agreement or bylaws, plus the consent or resolution that names who can open and run the account.
• Beneficial owners: anyone who owns 25% or more, plus one person with significant control, the same standard US banks use. Each of them verifies their identity.
• The authorized signer: the person opening the account for the company. They must have that authority under the company's documents. A mismatch between the signer and the documents is a common reason business verification stalls, so settle it first.
• The nature of the business and the source of funds.
• A business bank account in the company's name to fund purchases.

Onramp's business accounts open in the company's name after business verification. Our team reviews each business by hand, using the certificate of formation, operating agreement, proof of EIN, proof of good standing and proof of business address. The owner verifies by video, and every other user completes ID verification. Review takes about one business day once every owner has finished ID verification.

Board Approval and a One-Page Treasury Policy

Who approves depends on the entity. In an LLC, the operating agreement names the managers or members who can authorize the purchase. In a corporation, the board does. A short written consent is enough for most private companies, and it is the first thing an accountant, lender or new partner will ask to see.

A sample resolution, to adapt with your counsel:

Resolved, that the Company is authorized to purchase and hold bitcoin in an amount not to exceed [X% of cash reserves / $X], in accordance with the Bitcoin Treasury Policy adopted on [date]; that [names and titles] are authorized to open and operate an account in the Company's name for that purpose; and that no withdrawal of the Company's bitcoin may be made without the approval of a second authorized person.

What a Bitcoin Treasury Policy Covers

A treasury policy turns one decision into a repeatable process. For most private companies it fits on one page and answers nine questions:

1. Purpose and horizon. Why the company holds bitcoin and for how long, for example as a long-term reserve held for five years or more.
2. Allocation. The cap, stated as a percentage of cash or of cash above a set operating reserve, and whether the company buys at once or on a recurring schedule.
3. Who can buy. The people authorized to place purchases, and the limit per purchase.
4. Who can move funds. Who can start a withdrawal, who must approve it, and that no single person can do both.
5. Custody. Where the bitcoin is held, that it is titled to the company, and how often the arrangement is reviewed.
6. Selling and borrowing. When the company may sell or borrow against its bitcoin, and who decides.
7. Reporting. What the accountant receives monthly and what the board or partners receive quarterly.
8. Continuity. What happens when an authorized person leaves or is no longer around, including a minimum of two people with full access.
9. Review. An annual review date and who can amend the policy.

The Corporate Bitcoin Playbook shows how one company took this kind of policy to its board.

Bitcoin Treasury Strategy for an Operating Company

An operating company that holds bitcoin is different from a "bitcoin treasury company," a public company whose main business is raising capital to buy bitcoin. For an operating company, bitcoin is a reserve asset next to cash, and the strategy is about sizing and discipline rather than leverage.

Most operating companies start from the cash they don't need for payroll, inventory and a set number of months of expenses, then put a capped share of that excess into bitcoin. Many begin small and add over time. Occams Advisory started with a defined position and grew it from 10 BTC to 13+ BTC in stages. Recurring buys keep the company from timing the market and make the allocation a line item instead of a debate.

Bitcoin treasury management is the ongoing work after the first buy: reconciling holdings each month, reporting to owners, checking the allocation against the policy cap, and planning for cash needs. A company that needs cash can sell some bitcoin, which is a taxable event, or borrow against it. Business accounts at Onramp can access bitcoin-backed loans.

Four Ways a Company Can Custody Bitcoin

For a company, the custody question is who can move the bitcoin, and what happens when that person changes. Each model answers it differently.

1. An Exchange or Brokerage Business Account

What you get: a fast setup, a familiar login and easy buying.

What you take on: the bitcoin sits with one institution, often pooled with other clients' holdings, and control usually comes down to one login. Roles and approvals vary by exchange, and recovery when the person with access is no longer around depends on the exchange's process.

Fits: a founder buying a small amount alone.

Does not fit: a team, a board or a position the company can't afford to have stuck with one institution.

2. A Single Qualified Custodian

What you get: a regulated custodian, segregated accounts in many cases, and institutional controls.

What you take on: one institution can still move, lose or freeze the bitcoin, so the company inherits that institution's people, systems and solvency. Minimums and onboarding are usually built for large institutions.

Fits: large institutions with compliance teams that require a named qualified custodian.

Does not fit: a company that wants to remove the single point of failure, or one too small for institutional minimums.

3. Company-Held Keys: Hardware Wallets or Collaborative Multisig

What you get: direct control. The company holds its own keys on hardware wallets, or uses collaborative custody from providers such as Unchained or Casa, where the company holds most of the keys and the provider holds a backup.

What you take on: the devices, backups, signer coordination and key rotation whenever a signer leaves. Someone on the team has to own the setup and keep the plan current.

Fits: a small, bitcoin-native team with an operator who lives in the setup. It can work very well there.

Does not fit: a company where holdings are growing, people come and go, and no one wants to manage devices. The comparison is laid out in Hardware Wallet vs. Institutional Custody and Collaborative vs. Multi-Institution Custody.

4. Multi-Institution Custody, Where the Company Holds No Keys

What you get: three institutions protect your bitcoin. No one of them can lose it, move it, or use it, and nothing moves without your permission. Multi-institution custody works like a bank vault that needs two keyholders to open: it takes two of the three (Onramp, Tetra Trust, and CoinCover) to move your bitcoin. Onramp, Tetra Trust, and CoinCover each secure a key offline, never on a consumer device, in a 2-of-3 multisig, and no one at the company holds a key. No hardware wallets, seed phrases, backups, or PINs to manage. The vault is in the company's name and can be verified on-chain at any time.

What you take on: a recurring custody fee, and a verification process for the business and each user.

Fits: a company with a team, partners or a board that wants no single person and no single institution able to move its bitcoin.

Does not fit: a team that wants to hold its own keys. Model 3 serves it well.

Onramp's business accounts give a company team roles and withdrawal approvals, and companies can hold their bitcoin in multi-institution custody, in a vault in the company's name. Onramp holds $1B+ in bitcoin under Multi-Institution Custody. How the model works is covered on the Multi-Institution Custody page.

Approvals and Separation of Duties

Separation of duties means the person who starts a payment is not the person who approves it, and the person who reconciles the books does neither. Companies already run cash this way: one person sets up a wire and another releases it. Bitcoin deserves the same controls, because a bitcoin withdrawal can't be reversed once it settles.

A workable setup for a small company:

• An owner or senior admin who can approve withdrawals and manage users.
• A second admin who can start withdrawals but can't approve their own.
• View-only access for the accountant, a partner or a board member who needs to see balances and history without being able to move anything.
• A list of pre-approved withdrawal addresses, if your provider offers one, so the company's bitcoin can only go to destinations the team has already vetted. This is general good practice; ask each provider whether and how it supports it.

In a multi-member LLC, partners can each be users on the account and require each other's approval before bitcoin leaves. On Onramp's business accounts, an approval policy the company sets up puts a second person on withdrawals: one person starts it, another approves it, the way a wire works. Teams get owner, admin and view-only roles. In multi-institution custody, those team approvals sit on top of the institutional protection: every withdrawal from the vault is also verified by video with the custody institutions, and it takes two of the three institutions to move the bitcoin.

When an Owner Leaves or Is No Longer Around

Every custody setup should answer one question in writing: if the person with access is no longer around tomorrow, who can move the company's bitcoin, and what do they need to do it? Founders rarely leave the companies they run, but people get sick, travel, step back, or sell their stake. Your partners shouldn't need a treasure map.

• Exchange account: the answer depends on the exchange's recovery process, which can take weeks of documents.
• Company-held keys: the answer depends on the backups and the plan. A well-run multisig handles a departure by rotating keys, but only if someone documented the setup and the remaining signers can follow it.
• Onramp: control follows the ownership structure documented at business verification, not one person's device or password. There are no company keys to recover or rotate.

Whatever model you choose, five steps keep the company in control:

1. Keep at least two people with full access at all times.
2. Name a successor manager or officer in the operating agreement or bylaws, and keep the buy-sell terms current.
3. Remove a departing user's access the day they leave, and add their replacement.
4. Update the platform when ownership or officers change, so verification records match the company's documents.
5. Keep the treasury policy and account details where the remaining owners can find them.

A wider continuity plan for the business is covered in the glossary entry on business continuity and disaster recovery.

Accounting and Taxes, in Brief

Companies that report under US GAAP follow ASU 2023-08 for fiscal years beginning after December 15, 2024. Bitcoin is measured at fair value, with changes recognized in net income each reporting period, presented separately from other intangible assets, with disclosures on significant holdings, a reconciliation of activity during the period, and any restrictions on sale. The earlier model, cost less impairment, recorded losses but not gains. New FASB Guidance Bullish for Bitcoin explains why the change matters.

For taxes, the IRS treats bitcoin as property. Holding it generally doesn't create taxable income; selling or spending it does. How the gain is taxed depends on the entity, as shown above. Many private companies keep tax-basis books rather than GAAP books, so confirm with your CPA which rules apply to yours.

Reporting for Your Accountant, Partners and Board

Many companies that hold bitcoin are private and may never be audited, but someone still needs to see what the company holds. Build reporting for three readers.

Your accountant needs a monthly statement, a full transaction history with dates, amounts, prices and fees, the cost basis of each purchase, and the period-end balance priced at a consistent source and time.

Your partners or board need a one-page quarterly summary: holdings in bitcoin and in dollars, purchases and sales, the allocation against the policy cap, any withdrawals and who approved them, and any change in users.

Anyone who needs to verify it, including an auditor or lender, should be able to confirm the holdings independently. A vault titled to the company can be verified on-chain at any time, which is the difference covered in Proof of Reserves vs. Proof of Ownership. Onramp's SOC 2 Type I report is available through the Trust Center.

To see how Onramp's business accounts handle team controls and custody, visit Onramp Business. Larger treasuries can schedule a consultation.

Frequently Asked Questions

Can a company buy bitcoin with its business bank account?

Yes. Fund the purchase from a bank account in the company's name, by wire or ACH, so the money trail matches the entity that owns the bitcoin. Avoid buying with personal funds and transferring the bitcoin into the company later. It blurs cost basis and ownership, and your accountant has to untangle it.

Should the bitcoin be in the company's name or the owner's name?

If the company paid for it, it belongs in the company's name, in an account opened after business verification. Holding company bitcoin in an owner's personal account mixes company and personal assets, weakens the liability protection the entity provides, and leaves the company with no control if that owner is no longer around.

How is bitcoin taxed when a company sells it?

The IRS treats bitcoin as property, so the company recognizes a gain or loss when it sells or spends bitcoin, measured against its cost basis. A C corporation pays the 21% federal corporate rate on the gain. In an LLC taxed as a partnership, a single-member LLC or an S corporation, the gain flows through to the owners' returns. Holding without selling generally creates no tax. Confirm your situation with your CPA.

Do private companies have to disclose their bitcoin holdings?

Not publicly. Private companies don't file public reports. If the company prepares GAAP financial statements for lenders, investors or an audit, ASU 2023-08 requires disclosures on significant holdings, activity during the period and any restrictions on sale. Confirm with your CPA which statements your company prepares.

How does a company account for bitcoin under ASU 2023-08?

Under ASU 2023-08, effective for fiscal years beginning after December 15, 2024, a company measures bitcoin at fair value each reporting period and records the change in net income. Bitcoin is shown separately from other intangible assets, with added disclosures. Companies adopting it record a cumulative-effect adjustment to opening retained earnings. Confirm the details with your CPA.

Can partners in an LLC require each other's approval to move bitcoin?

Yes, with the right account. Each partner can be a user, and withdrawal approvals mean one partner starts a withdrawal and another approves it before anything moves. Write the rule into the treasury policy and the operating agreement so it survives a change in partners. On Onramp's business accounts, approval policies put a second person on withdrawals.

Is a trust opened as a business account?

Usually, yes. Platforms tend to verify a trust the way they verify a company: the trust document, the trustees and the people with authority to act. Individuals holding bitcoin in a revocable living trust have a separate set of choices, covered in Holding Bitcoin in a Revocable Living Trust. Onramp verifies a trust with the trust agreement or declaration of trust, a certificate of trust, and a W-9.