Meitu, a leading Chinese technology firm, announced today that the company has expanded its cryptocurrency portfolio with the addition of 386 Bitcoin and 16,000 Ethereum. The total value of Meitu’s cryptocurrency assets now stands at around $90 million.
According to the official announcement, the Hong Kong-listed software company bought nearly $50 million worth of Bitcoin and Ethereum on 17 March. Meitu highlighted that blockchain technology has the potential to disrupt the financial sector. In addition, the company mentioned the benefits of cryptocurrency assets.
“The Board considers this a demonstration to investors and stakeholders that the Group has the vision and determination to embrace technological evolution, and hence preparing its foray into the blockchain industry. Notwithstanding the long-term prospects, cryptocurrency prices, in general, are still highly volatile and therefore the Board currently decided to invest in the two largest cryptocurrency assets by market capitalization, Ether and Bitcoin, which the Board believes should enhance shareholder value in the long-term,” the company mentioned in the official announcement.
Earlier this month, Meitu purchased around $40 million worth of cryptocurrency assets including 15,000 Ethereum and 379 Bitcoin. Moreover, the company shared details about its crypto investment plan.
Cryptocurrency Market of Asia
Asia is home to some of the fastest-growing economies, including China and India. The cryptocurrency market is growing in Asia and several companies are planning to include digital currencies like Bitcoin and Ethereum in their balance sheets. Cai Wensheng, Chairman and Founder of Meitu, remained vocal about Bitcoin and other cryptocurrencies. In 2018, Wensheng mentioned during an open group Q&A session on WeChat that he has more than 10,000 Bitcoin. Changpeng Zhao, CEO of cryptocurrency exchange Binance, mentioned in a tweet earlier this month that several companies in Asia are currently holding Bitcoin and other digital assets, but they are not making it public. During a recent interview with Reuters, Brad Garlinghouse, CEO of Ripple said that the company is growing significantly in Asia due to regulatory clarity in the region.