Two More Public Companies Embrace Bitcoin as a Treasury Asset
In a continued wave of corporate Bitcoin adoption, two U.S.-based publicly traded companies, Thumzup Media and KULR Technology Group, have announced significant investments in the leading cryptocurrency. Their moves highlight a growing trend among firms seeking to align their financial strategies with Bitcoin’s perceived long-term value.
Thumzup Media Makes Its First Bitcoin Investment
Thumzup Media, a Los Angeles-based social media marketing firm, disclosed its inaugural Bitcoin purchase of approximately $1 million this week. The company plans to allocate up to 90% of its liquid assets to Bitcoin and is preparing to begin paying contractors in the digital currency within the coming weeks.
While Thumzup’s stock remained stable immediately following the announcement, it experienced a 7% decline over the subsequent 24 hours, trading at around $4 per share. Despite this dip, the company has signaled its commitment to Bitcoin as a strategic asset.
KULR Technology Doubles Down on Bitcoin
San Diego-based KULR Technology Group, specializing in energy storage solutions for aerospace and defense, significantly expanded its Bitcoin holdings with a $21 million purchase. This acquisition doubles its Bitcoin treasury to $42 million, less than two weeks after its initial investment.
KULR, like Thumzup, aims to hold 90% of its liquid assets in Bitcoin. However, the company’s stock price has seen a sharp decline, falling 27% since announcing its latest purchase, currently trading at $2.78 per share.
Inspiration from MicroStrategy
The two firms join a growing roster of companies inspired by MicroStrategy, the enterprise software giant that pioneered Bitcoin adoption as a treasury reserve asset. MicroStrategy recently expanded its Bitcoin holdings by purchasing 1,070 BTC for $101 million, bringing its total to an industry-leading 447,470 BTC.
Broader Corporate Bitcoin Adoption
Thumzup and KULR are part of a larger trend of Bitcoin adoption among publicly traded firms. In late 2024, biotech companies Acurx Pharmaceuticals, Hoth Therapeutics, and Enlivex Therapeutics each announced plans to invest up to $1 million in Bitcoin, citing rising investor and political support for the cryptocurrency.
Notably, Bitcoin adoption isn’t limited to U.S. companies. Last month, Hong Kong-based gaming firm Boyaa Interactive announced plans to convert its Ethereum holdings into nearly $50 million worth of Bitcoin, signaling a strategic pivot. Meanwhile, Japan’s Metaplanet aims to accumulate a 10,000 BTC “war chest,” making its single-largest Bitcoin buy to date in December 2024.
Market Dynamics and Political Influence
These corporate moves come as Bitcoin continues to experience price volatility. After hitting an all-time high of $108,000 in December, Bitcoin’s price has settled at around $95,000, according to CoinGecko. Despite the pullback, companies remain bullish on its potential as a hedge against inflation and a strategic asset.
President-elect Donald Trump’s pro-Bitcoin stance has also bolstered corporate interest. During his campaign, Trump proposed creating a national Bitcoin reserve, further legitimizing the cryptocurrency in the eyes of institutional investors.
