Bitcoin treasury firms are targeting a $3 trillion opportunity in bitcoin-backed digital credit, a rapidly expanding market for debt instruments designed to generate yield on bitcoin holdings. The market, which has grown to approximately $10 billion in under a year, was a focal point at the Consensus Miami conference. Matt Cole, CEO of Strive, highlighted the potential for bitcoin-backed credit to capture 1% of the $300 trillion global credit market. Digital credit, a new income-generating security backed by bitcoin, allows investors to earn yield while mitigating bitcoin's price volatility. These instruments, often structured as perpetual preferred stocks, have no fixed repayment date. Strive and Bitcoin Standard Treasury Company are among the firms exploring this space, with the latter preparing to add 30,000 bitcoin to its balance sheet. Nakamoto, another key player, is considering expanding its offerings to include digital credit products. Kwasi Kwarteng, executive chairman of Stack, emphasized the significant growth potential for bitcoin treasury companies, noting the stark contrast between the number of such firms and traditional banks. He underscored the binary nature of bitcoin's future, suggesting that capturing even a small fraction of the global credit market could significantly impact bitcoin's valuation.