Greenpro, the Kuala Lumpur headquartered Nevada corporation, has announced to set up a Bitcoin Fund for investment.
It has been reported that the company will use its subsidiary, cryptocurrency exchange CryptoSX, to acquire its BTC stake.
However, the decision to launch a Bitcoin fund has been made in the light of the ongoing mass adoption of BTC by banks, hedge funds, insurance companies, and institutions.
The report said that Greenpro also believes that Bitcoin is a reliable store of value as such the company’s crypto strategy will produce significant value to the company. The company not only has a belief in BTC but also other cryptos like Ethereum which by providing better returns, preserve the value of their capital as such a better option than holding cash in their balance sheet.
.@GreenProCapital to Invest $100M in #Bitcoin; Will Replace Cash With #BTC on Balance Sheet in Q1https://t.co/SbN9CQewUk — ₿EG News – BitcoinExchangeGuide (@bitcoinsguide) December 29, 2020
Likewise, this year first MicroStrategy, which has invested more than a billion-dollar in BTC as a reserve asset, and then Square with its $50 million investment has given value to BTC as a replacement to cash as a reserve asset.
CK Lee, the CEO of Greenpro, said:
“We fully believe in BTC as a store of value. I’ve instructed our investment bankers to raise debt in Q1, 2021 of up to US$100 million to invest in BTC. The Company will also invest its own cash into BTC.”
Thus, in response to the news of Bitcoin investment, the shares of Greenpro Capital jumped 133% in pre-market on Monday. After going as high as $2.41, a price level that was last seen in October of this year, GRNQ shares have settled around $1.87 for now.
Source: Bitcoin Exchange Guide