Altvest Capital has announced that it will keep Bitcoin as a part of its asset reserve. According to Bloomberg, Altvest Capital Ltd. has announced that it intends to use Bitcoin as its main treasury reserve asset, making it the first listed firm in Africa to do so.
The move stays in tandem with market trends which has seen major corporates jump on the Bitcoin bandwagon amid a rise in acceptance and adoption.
Altvest Capital Takes Inspiration From MicroStrategy
Altvest Capital’s new move to keep Bitcoin as a part of its treasury has taken inspiration from MicroStrategy.
Michael Saylor, whose business, MicroStrategy, has seen its stock price climb over 2,400% since it began purchasing Bitcoin as part of its corporate reserves, has adopted a similar audacious plan.
Altvest CEO Warren Wheatley says the company is currently requesting permission from regulators to finance about 200 million rand, or about $10 million USD for the purchase. With this funding, Altvest will strengthen its commitment to Bitcoin as a central asset and expand its treasury reserves.
Wheatley stated that although the fundraising is in progress, a final decision has not yet been made.
Corporate Interest in Bitcoin Surges Parallel To Bitcoin’s Global Demand
Global companies have been investigating Bitcoin’s potential as a store of wealth and inflation hedge, making its adoption see a skyrocketing rise.
As more businesses realize that Bitcoin may offer both long-term growth and financial security, they are adding it to their treasury reserves. This change is indicative of a larger trend toward decentralized finance (DeFi) and the increasing use of blockchain technology in business.
Bitcoin is a desirable substitute for conventional fiat currencies due to its decentralized structure and restricted supply, particularly in unstable or uncertain economic environments.
Bitcoin’s position in corporate finance plans may change how corporations manage their portfolios and navigate the digital economy as more organizations use it as a reserve asset.
Bitcoin’s Role in Corporate Is More Than Just a Store For Value
Due to its potential as a hedge against inflation, currency depreciation, and economic instability, corporations are increasingly using Bitcoin as a reserve asset.
Bitcoin is a desirable store of value because of its decentralized structure, limited availability, and growing popularity. Businesses see it as a means to diversify their holdings and shield their money from the hazards associated with the conventional financial system.
Moreover, although Bitcoin’s volatility poses a risk, it also offers chances for significant long-term profits, as demonstrated by the experiences of businesses such as MicroStrategy.
More companies are beginning to view Bitcoin as a digital asset that is future-proof for the contemporary economy as blockchain technology and decentralized finance (DeFi) continue to advance.
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