Matador Technologies, a Canadian firm specializing in real-world asset tokenization, has joined the growing list of companies embracing cryptocurrency by including Bitcoin in its treasury. In a statement released on December 23rd, the firm’s board of directors announced their unanimous decision to allocate funds towards Bitcoin and “USD-denominated assets” as part of a long-term strategy aimed at preserving capital.
The move comes as Matador seeks to mitigate risks associated with its current treasury, primarily denominated in Canadian dollars. Concerns around Canada’s reliance on oil exports and increasing national debt could potentially lead to currency devaluation and loss of purchasing power for Canadian-denominated assets.
By investing in Bitcoin, Matador hopes to hedge against these risks and secure its financial future. In line with this strategy, the company plans to invest $4.5 million initially in Bitcoin this month and intends to continue exploring further purchases through measured buying programs. Furthermore, they plan to convert most of their cash balance sheet from Canadian dollars to US dollars.
According to Sunny Ray, President of Matador, “Matador’s Board and management believe in using Bitcoin to future-proof our treasury. This step also supports our mission to explore using Bitcoin as a platform for our gold-based products.”
This move is not only financially motivated but also aligns with Matador’s product roadmap for next year.
The company is developing a blockchain-based system called Digital Gold Platform that will allow users to buy, trade, and store tokenized gold backed by physical reserves. By holding Bitcoin as part of its treasury, Matador hopes to further solidify its position in the cryptocurrency space and leverage the technology behind Bitcoin to enhance its own offerings.
Matador joins a growing number of forward-thinking companies like Quantum Biopharma, Jiva Technologies, and Rumble who have recognized the potential benefits of including cryptocurrencies like Bitcoin in their treasuries. With this strategic move, Matador Technologies continues to position itself as a leader in the field of asset tokenization and demonstrates its commitment to innovation and financial stability.
Reported by cointelegraph.com
