Hong Kong-based investment holding company HK Asia is expanding its Bitcoin investments after receiving board approval to increase its cryptocurrency assets.
Board Decision
On February 23, HK Asia announced that its board of directors approved plans to increase its Bitcoin investments, allowing the company to purchase an additional 7.88 BTC.
Purchase Details
The acquisition took place on February 20 through an open market cryptocurrency exchange and was financed using the company’s internal resources, costing HK$5,936,906.26, approximately $761,705. HK Asia's total Bitcoin holdings now stand at 8.88 BTC, acquired at an average price of $97,021 per coin.
Market Reaction and Context
Following the company's first Bitcoin purchase, its stock price nearly doubled. After the latest announcement, shares rose another 5.7% by midday on February 24. HK Asia joins numerous publicly traded companies adding Bitcoin to their balance sheets to diversify assets and enhance earnings by capitalizing on its long-term growth. Companies like Strategy and MetaPlanet have led the trend with periodic Bitcoin investments. Recently, KURL Technology Group disclosed buying an additional $10 million worth of BTC, and Japanese gaming studio Gumi approved Bitcoin purchases worth JPY 1 billion by May.
By adopting the trend of increasing cryptocurrency holdings among publicly traded companies, HK Asia shows a growing interest in Bitcoin's long-term growth potential. This strategy helps companies diversify assets and strengthen their market position.
