Publicly Listed Maker of Billion-User Chinese App Meitu Buys $40 Million of Bitcoin and Ether for Its Treasury

Publicly Listed Maker of Billion-User Chinese App Meitu Buys $40 Million of Bitcoin and Ether for Its Treasury

One of China’s top internet app makers, Meitu Inc., is adding up to $100 million worth of cryptocurrencies to its treasury, joining a growing list of companies worldwide to do so. The company has already purchased $40 million worth of bitcoin and ether for its balance sheet. Chinese Public Company Adds Bitcoin and Ethereum to Treasury Reserves

Chinese public company Meitu Inc. announced Sunday: The group has purchased 15,000 units of ether and 379.1214267 units of bitcoin (BTC), both cryptocurrencies, in open market transactions at an aggregate consideration of approximately US$22.1 million and US$17.9 million respectively, on March 5, 2021.

Founded in 2008, Meitu is one of China’s top internet enterprises utilizing AI-driven image-and-video processing technologies for editing user-generated mobile content.

According to its website, Meitu’s flagship app has accumulated more than 1 billion users worldwide. As of June 2020, there are 2.08 billion unique devices with Meitu’s products activated on them, and a total of 295 million monthly active users of Meitu apps. Meitu’s total number of overseas users has exceeded 823 million users, with over 10 million users each in 15 countries including Indonesia, Thailand, Pakistan, Vietnam, the US, Brazil, Japan, Bangladesh, the Philippines, South Korea, Malaysia, Nigeria, Mexico, Canada, Turkey.

Meitu is listed on the Hong Kong stock exchange under the stock code 1357.HK. Its shares rose as much as 14.4% on Monday morning after the news of its cryptocurrency purchase.

The coins purchased “will reside with renowned cryptocurrencies trading platform(s) engaged by the group with good security measures set up,” the company explained.

The announcement further details that “These purchases were made pursuant to a cryptocurrency investment plan previously approved by the board of directors” of the company. Under the plan: The group may make a net purchase of up to US$100 million worth of cryptocurrencies, financed by its existing cash reserves other than any remaining proceeds from the company’s initial public offering.

Meitu is the latest company to say it will hold cryptocurrencies as part of its treasury reserves. Last month, Elon Musk’s Tesla Inc. revealed it had bought $1.5 billion worth of bitcoin and will soon accept the cryptocurrency as a means of payment for its products. Meanwhile, the Nasdaq-listed Microstrategy has accumulated almost 100K bitcoins.

Do you think more Chinese companies will add bitcoin to their balance sheets? Let us know in the comments section below. Burned Banksy NFT Sale Captures Close to $400K, Critics Claim Buyers Are "Morons" FEATURED | 17 hours ago Satoshi"s 21 Million Mystery: One-Millionth of the Bitcoin Supply Cap Is Now Worth $1 Million FEATURED | 2 days ago Tags in this story bitcoin treasuries, bitcoin treasury, chinese public company, hone kong company, Meitu, meitu bitcoin, meitu btc, meitu crypto, meitu cryptocurrency

Image Credits: Shutterstock, Pixabay, Wiki Commons Use Bitcoin and Bitcoin Cash to play online casino games here. Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article. Read disclaimerShow comments