Meitu announced a $40 million investment in Bitcoin and Ethereum, making the Chinese company the first to disclose an Ethereum investment for its treasury.
Chinese App Meitu Invests In Crypto
The board of the company had previously planned to invest up to $100 million in cryptocurrencies. The company’s cash reserve will finance the latest $40 million purchase.
In the attached statement, the board insisted on diversifying the investment into the two major cryptocurrencies. $22.1 million will be invested in Ethereum, making Meitu the first to add ETH to its balance sheet. Previous corporate investments have only been in Bitcoin. This is the case of Tesla’s landmark $1.5 billion purchase and MicroStrategy’s regular investments, the last of which happened three days ago.
The company announced that this purchase was only the first foray into blockchain technology and that it planned on investigating opportunities for their service in the domain.
“The Board takes the view that blockchain technology has the potential to disrupt both existing financial and technology industries, similar to the manner in which mobile internet has disrupted the PC internet and many other offline industries.”
Disclosure: The author held BTC and ETH at the time of press.