Author: Nancy, PANews
The strategy of incorporating Bitcoin as reserve assets is gaining popularity globally. Recently, SOS Ltd. (SOS), a company listed on the New York Stock Exchange, announced plans to purchase $50 million worth of Bitcoin, and its stock price surged immediately after the announcement. Meanwhile, as the market recognition of Bitcoin continues to grow, several domestic listed companies are also incorporating Bitcoin into their reserve assets. This strategy not only optimizes the company's asset structure and brings additional benefits but also significantly boosts stock prices.
Announced a $50 million Bitcoin investment plan, already involved in cryptocurrency mining years ago.
On November 27, SOS announced that the board has approved a plan to invest $50 million in Bitcoin. SOS believes that this move emphasizes the company's commitment to advancing its blockchain industry and reinforces its long-term belief in Bitcoin as a store of value and strategic asset, which will further enhance the company's overall competitiveness and profitability in the digital asset investment field.
After the announcement, SOS's stock price surged to a high of $15.11 at the opening but subsequently retreated, with an increase of 42.88%. According to the official introduction, SOS provides digital technology services for emergency rescue, big data marketing, international trade, digital assets, and other industries using core technologies such as AI, blockchain technology, satellite communication, and big data, offering clients a one-stop digital solution. At the same time, SOS is also a multi-domain company engaged in Bitcoin, cryptocurrency business, and commodity trading, with operations including cryptocurrency mining, and may expand into cryptocurrency security and insurance in the future.
In fact, SOS has laid out a plan for cryptocurrency mining companies for many years. For example, as early as 2020, SOS announced it spent approximately $20 million to purchase 14,238 Bitcoin mining machines and 1,408 Ethereum mining machines, expecting to generate daily revenue of $206,000 at that time; in 2023, SOS announced the launch of more than 5,000 self-owned mining machines at its Texas hosting center and has signed a hosting agreement with Bitmain, with a total of 6,000 hosted mining machines, valid until August 20, 2025.
Regarding this Bitcoin investment plan, SOS explained in its announcement that currently, Bitcoin has reached an all-time high and continues to attract global investor attention. Bitcoin is not only an important part of the digital asset ecosystem but also has the potential to become one of the global strategic reserve assets. Given the positive dynamics of the current cryptocurrency market, including the United States' more favorable commitment to digital assets and major financial institutions' preference for Bitcoin, SOS is committed to bringing long-term value to shareholders and investors through continuous investment and technological innovation while actively contributing to the sustainable development of the global digital economy.
To maximize investment returns and reduce market volatility risks, SOS plans to employ various quantitative trading strategies, including investment, trading, and arbitrage strategies, to help the company achieve stable returns in the current market environment while further optimizing its investment portfolio over time.
Several Hong Kong-listed companies are buying Bitcoin: Long-term investments have yielded substantial profits, while short-term entries have seen stock prices soar.
Since the second half of this year, more and more global listed companies are actively incorporating Bitcoin into their asset allocations, especially in the United States and Japan, where numerous listed companies have announced related plans aimed at optimizing financial structures and achieving asset appreciation, while also promoting the widespread application and popularization of cryptocurrency assets.
In addition to SOS, some Chinese listed companies have also shown strong interest and active participation. From the Bitcoin holdings of the five Hong Kong-listed companies below, some companies have profited significantly from years of investments, but their stock prices did not show significant increases this year. Meanwhile, some companies that announced Bitcoin investment plans this year saw their stock prices rise significantly after making substantial Bitcoin purchases.
Meitu: Bitcoin holdings have appreciated over $40 million over the years
The United States invested in cryptocurrency assets as early as 2021 and has not made any additions or sales since then. Data from BitcoinTreasuries.com shows that as of November 28, Meitu holds 941 Bitcoins, currently valued at over $89.98 million. Based on a cost price of $52,611, Meitu's unrealized gains exceed $40.473 million. According to Meitu's disclosure last year, the company would consider selling cryptocurrencies at the appropriate time, but currently, there are no specific disposal plans.
Market data shows that Meitu's stock price has not experienced a sustained upward trend this year, having fallen over 21.9% since the beginning of the year.
Boyaa Interactive: Holds over 2,460 Bitcoins, stock price has surged over 750% this year.
Boyaa Interactive is one of the largest listed companies in Asia by Bitcoin holdings. Market data shows that so far this year, Boyaa Interactive's stock price has increased by 753.45%, reaching a new high since October 2016.
According to a recent announcement from Boyaa Interactive, the company holds a total of 2,641 Bitcoins and 15,445 Ethereum, with a total cost of approximately $143 million, meaning the average cost per Bitcoin is $54,027 and $2,756 per Ethereum. Based on the latest prices as of November 28, Boyaa Interactive has unrealized gains exceeding $165 million.
Guofu Innovation: Purchased 36 million Hong Kong dollars worth of Bitcoin in six months, stock price peaked with an increase of over 134%.
Since Guofu Innovation publicly disclosed its cryptocurrency investment plan, this Hong Kong-listed company purchased Bitcoin worth approximately 36 million Hong Kong dollars in the open market from March to August. Market data shows that since the March announcement, Guofu Innovation's stock price has increased by approximately 134.7%.
NetDragon: Holds cryptocurrency assets for at least three years, has made a profit of 51 million yuan.
NetDragon Websoft, a Hong Kong-listed company, is a global online and mobile internet education company that builds an innovative educational ecosystem with its technology and operational knowledge in mobile internet. As early as its 2021 report, NetDragon disclosed it held cryptocurrency worth 127 million yuan, and in subsequent years, the company suffered losses of tens of millions. The mid-year report for 2024 shows that the company sold cryptocurrencies worth 290 million yuan in the first half of this year, making a profit of 51 million yuan.
Market data shows that NetDragon's stock price has fallen 19.6% since the beginning of the year, with only a brief upward trend.
Coolpad Group: Unrealized gains from BlackRock IBIT holdings are approximately $2.19 million.
Coolpad Group invested tens of millions of dollars in cryptocurrency assets this year. In addition to purchasing shares of cryptocurrency mining companies, the company also invested approximately $4.03 million in 113,000 shares of BlackRock IBIT, with an approximate price of $35.64 per share. Based on the latest price of IBiT at $55.03, Coolpad's unrealized gains reached $2.191 million. Notably, Coolpad's announcement in October stated that the company will continue to be suspended from trading.
