BREAKING: South American Gold Mining Giant Buys Bitcoin
Bitcoin is attracting the attention of listed companies in various industries around the world. Following the public acquisition of Bitcoin by MicroStrategy, an enterprise-level software company listed on the US stock market, Nilam, another listed giant company of traditional gold mines in South America, announced its acquisition of Bitcoin. Compared with Weizeluâs purchase of Bitcoin through debt issuance and use of the companyâs net profits, Nilam purchases Bitcoin through the acquisition of special purpose entities.
On March 25, Nilam, a listed gold mining company in South Africa, announced that the company had signed a letter of intent with Xyberdata Ltd., a special purpose entity located in Mauritius, to acquire 100% of the equity of the special purpose entity to be established in the name of Mindwave, which currently holds 24,800 Bitcoins. Nilam will issue newly authorized Class C preferred shares in exchange for 24,800 Bitcoins at a discount to the current market price. At current Bitcoin prices, this transaction would bring Nilam more than $1.7 billion in Bitcoin value.
According to the announcement, it is expected that after the acquisition between the two parties is completed, Nilam will acquire 100% of the equity of MindWave, making it a subsidiary of Nilam. MindWave shareholders will exchange their equity interests in Mindwave for a new class of preferred shares (Class C) authorized and issued by NILA.
Pranjali More, Chief Operating Officer of Nilam Resources, said that this acquisition and the resulting strategic partnership coincide with NILAâs vision, mission and core values ââ- the future of finance will be inclusive and sustainable, in Create transparent and impactful solutions while driving positive change in the digital economy.
In July 2020, MicroStrategy began exploring alternative assets to hedge inflation and cash alternatives, such as Bitcoin. As of March 11, 2024, the company already held more than 200,000 Bitcoins, worth more than $14 billion. MicroStrategy has spent more than $1 billion on Bitcoin in the first three months of 2024, accounting for more than half of last yearâs total purchases. Bitcoin has gained about 675% since Saylor began buying.
We will wait and see the answer. But at least one fact that cannot be ignored is that with the recovery and start of the Bitcoin bull market, in the future, more and more global listed companies across the industry will begin to pay attention to and even invest in Bitcoin.
