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Meitu, a Chinese investment firm, has spent another $50 million in ETh and BTC, raising its total assets to $90 million.
Meitu, a Chinese software firm, has reported a new $50 million investment in Ether and Bitcoin, bringing its total crypto budget to about $90 million this month.
On March 17, the Hong Kong and China-listed firm paid $21.6 million for 386.08 BTC and $28.4 million for 16,000 ETH. The most recent disclosure followed an original cryptocurrency acquisition on March 5, in which the firm invested approximately $22.1 million for 15,000 ETH and approximately $17.9 million for 379 BTC.
Although cryptocurrency is still in its early stages, the firm claims that blockchain technology has the ability to be a transformative force in established financial and technology industries:
“The Board believes that the blockchain industry is still in its early stage, analogous to the mobile internet industry in circa 2005. Against this backdrop, the Board believes cryptocurrencies have ample room for appreciation in value.”
The business also cited the rising pattern of major entities such as Tesla and Microstrategy amassing Bitcoin, as well as the growing adoption of cryptocurrencies as a means of payment for products and services in conventional society, as explanations for the additional purchase.
Meitu went public in 2016 and is now traded in both China and Hong Kong. MeituPic, a common photo editing and retouching app in mainland China, Hong Kong, and Taiwan, was created by the tech firm.
BREAKING – Hong Kong Listed Company Meitu Inc has purchased another 16,000 ETH at $28.4million and 386 BTC at $21.6million.
The group now has $90mil worth of cryptocurrencies.https://t.co/P367TtPuiO pic.twitter.com/sYPSWPjOpJ
— frxresearch (@frxresearch) March 17, 2021
Following the announcement of its first acquisition on March 5, Chinese journalist Wu BlockChain speculated that it was the “first Chinese listed firm to purchase a significant volume of Bitcoin.”
However, considering the country’s highly volatile regulatory climate, it remains unlikely that many more publicly traded Chinese companies will report major crypto acquisitions in the foreseeable future. China officially recognises Bitcoin as a decentralised currency, but exchange sites are prohibited from exchanging legal tender for virtual currencies or tokens.