A Major Canadian Company Begins Buying Bitcoin

Canadian real-world asset tokenization company Matador Technologies has become the latest company to add Bitcoin to its portfolio.

A Major Canadian Company Begins Buying Bitcoin

On December 23, the company said its board of directors unanimously approved the addition of Bitcoin and other USD-denominated assets to its balance sheet as part of a strategy for “long-term capital preservation.”

Matador noted that its existing treasury, which is primarily denominated in Canadian dollars, is at risk.

“Canada’s reliance on oil exports coupled with its growing national debt raises concerns about the potential for devaluation and loss of purchasing power of Canadian dollar-denominated assets,” the company noted.

Matador said it plans to make an initial allocation of $4.5 million to Bitcoin in December and will continue to consider additional purchases through board-level, measured purchases.

Matador Technologies Buy Bitcoin
Matador Technologies Buy Bitcoin

The company also plans to convert the majority of its balance sheet cash from Canadian dollars to US dollars. Matador Chairman Sunny Ray added:

“The board and management of Matador believe that the use of Bitcoin will help protect our treasury assets in the future. This move also supports our mission to explore using Bitcoin as a foundation for our gold-based products,” the company said.

Matador said that the Bitcoin treasury will support the development and launch of its digital gold platform next year. The platform is a blockchain-based system that allows users to buy, trade, and store tokenized gold, backed by physical reserves.

Read more: Crypto Market Booms After the 2024 U.S. Presidential Election

Matador is the latest in a series of companies to add Bitcoin to their balance sheets as a strategic reserve in recent months.

On December 20, biopharmaceutical company Quantum BioPharma disclosed its purchase of $1 million worth of Bitcoin and other crypto assets to diversify its treasury.

Earlier in late November, Canadian healthcare company Jiva Technologies approved a plan to add $1 million worth of Bitcoin to its holdings. Similarly, video-sharing platform Rumble also approved a strategy to allocate up to $20 million of the company’s excess cash into Bitcoin.

(1 vote)

1.0/5

(1 vote)

Latest

Pi Network Faces Challenges Ahead Of Pi2day Amid Market Downturn

News | Editor Choice | Pi Network

Pi Network Faces Challenges Ahead of Pi2Day Amid Market Downturn

With just days left before Pi2Day, the Pi Network community is hoping for a price boost from major announcements — but geopolitical tensions and Pi Coin’s steep decline may dim those hopes.

What Does Former Binance Ceo Say As Bitcoin Falls Below $100k

News | Bitcoin | Editor Choice

What Does Former Binance CEO Say as Bitcoin Falls Below $100K?

As Bitcoin plunges below $100,000 amid geopolitical tensions, former Binance CEO Changpeng Zhao reassures the community that this is merely a dip before the next all-time high.

Pi Coin Founder’s Reaction To Being Called A Scammer

Editor Choice | Pi Network

Pi Coin Founder’s Reaction to Being Called a “Scammer”

While the price of PI is struggling around the 0.5 USD mark, the founder of Pi Network, Nicolas Kokkalis, has unexpectedly been labeled a "scammer."

Altcoin Plummets 80% Time To Test The Bottom Or A Recovery Opportunity

Altcoin | Editor Choice

Altcoin Plummets 80%: Time to Test the Bottom or a Recovery Opportunity?

The entire altcoin market has lost 80% of its value in just the past six months, even though BTC has maintained the 100k mark. Altcoins continue to search for a bottom, and this may present an opportunity for recovery.

Tether Mints Another 2 Billion Usdt As Bitcoin Reclaims $100k

News | Altcoin | Editor Choice

Tether Mints Another 2 Billion USDT as Bitcoin Reclaims $100K

Tether continues to draw attention as it mints another 2 billion USDT on the Tron network, just as Bitcoin bounces back above $100,000 and the crypto market begins to recover from recent geopolitical turbulence.