More and more companies have started adding cryptocurrencies to their company’s balance sheet or as treasury reserve asset. The latest one to add is Meitu which has just announced they have purchased 40 million worth of cryptocurrencies including 380 bitcoin and whopping 15000 ethereum.
The purchase was made on March 5th 2021 when bitcoin’s price was $47105 and Ethereum’s price was $1473.
Most companies have been accumulating just Bitcoin but adding Ethereum also makes sense since it is second most popular cryptocurrency by marketcap and world’s first decentralized computer.
Adding Ethereum along with Bitcoin has triggered a lot of Bitcoin maximalists. We see tweets like “Buying ETH is a short term play. So the answer is no.”
“There is no company by that name“
“Ethereum is a centralized, controlled, premined, presaled, security, scam, broken system sh*tcoin that needs to be REBUILT FROM SCRATCH to something they are calling eth 2.0 and has even bigger issues than eth 1.0. It would be a detriment to society if adopted in any meaningful way.”
That said, it is great to finally see some big Asian companies investing in bitcoin and other cryptocurrencies as their treasury reserve asset. This did not happen back in 2017 so this time, may be it is actually different as institutions are clearly interested to buy bitcoin at premium rather than waiting for a stronger retrace.
He is the Associate Editor and lives in New York. He eats charts for breakfast.