DeFi Technologies Adopts Bitcoin as its Primary Treasury Reserve. Buys 110 BTC
According to a press release, Canadian-based public company DeFi Technologies has adopted Bitcoin as its primary treasury reserve asset and launched the new development by purchasing 110 Bitcoins.
DeFi Technologies is a financial technology company that bridges the traditional market and the Decentralized Finance (DeFi) space. As a result of its latest Bitcoin purchase, the company has over $7 million worth of BTC in its asset reserve.
The financial company also added that its subsidiaries, Valour Inc. and Valour Digital Securities Limited, which focus on providing exchange-traded products ( ETPs), reported C$837 million ($607 million) in Assets Under Management (AUM) as of May 31, 2024, a 64.9% increase from last year.
DeFi Technologies Expresses Confidence in Bitcoin
Concerning the company’s latest major strategic step, Olivier Roussy Newton, CEO of DeFi Technologies, said, “We have adopted Bitcoin as our primary treasury reserve asset, reflecting our confidence in its role as a hedge against inflation and a haven from monetary debasement.”
Additionally, he stated, “As the best-performing asset over the past decade, Bitcoin offers significant short to long-term potential to expand the Company’s treasury. Our strong year-on-year AUM growth reflects sustained demand for our innovative ETP products and investor trust. Tremendous revenue growth and a strong cash position highlight the effectiveness of our strategic initiatives.
“The success of DeFi Alpha in scaling our revenue model and our groundbreaking products demonstrate our commitment to providing secure, diversified, and accessible digital asset investment options. Our successful loan repayments further showcase the resilience of our operational strategy. We are excited about our prospects and look forward to advancing our position in the digital asset space.”
Bitcoin Goes Mainstream: Countries Add Crypto to Their Treasury Reserves
Bitcoin’s value proposition resonates with a broader audience beyond institutions. Countries are joining the wagon. El Salvador became the first country to add Bitcoin to its national treasury in 2021 and has continued to increase its crypto holdings since then.
Meanwhile, in a recent report, Argentina made a move that might suggest a potential intention to adopt Bitcoin as legal tender. The leaders of Argentina’s National Securities Commission (CNV) linked up with the president and vice-president of El Salvador National Digital Assets Commission (CNAD) to discuss El Salvador’s experience in adopting Bitcoin as a legal tender.
