Chinese company Addentax Group Corp. (ATXG) has unveiled an ambitious strategy involving investments of up to $800 million in cryptocurrency, focusing on Bitcoin and the TRUMP token.
Plans to Acquire 8,000 Bitcoin
ATXG plans to acquire approximately 8,000 Bitcoin and various tokens by offering company stocks to current cryptocurrency holders. Discussions with industry professionals have already begun, aimed at strengthening ATXG's financial positions and expanding partnerships with experienced crypto market participants.
GD Culture and TRUMP Token Issues
ATXG's announcement draws parallels to GD Culture Group's similar venture, which declared a $300 million investment in Bitcoin and TRUMP. However, GD Culture's limited workforce and lack of revenue have raised concerns about the legitimacy of their funding sources. The transaction was conducted through an unnamed entity in the British Virgin Islands, further fueling skepticism.
Regulation of Trump-Linked Crypto Projects
In the U.S., projects linked to Trump in the cryptocurrency space have attracted regulatory attention. Several Democratic representatives have requested reports from the Treasury concerning any cryptocurrency transactions involving Trump, amid concerns about suspicious activity and potential insider trading. The MOVE token, supported by Movement Labs, has also faced value fluctuations amid these investigations.
ATXG's endeavor to integrate cryptocurrency into its financial framework reflects an intent to adapt to the evolving digital economy. However, the company needs to work on transparency to earn trust from investors and regulators.
