On December 28th, Greenpro Capital, a Nevada-registered and Kuala Lumpur-headquartered business incubator, announced that it will be investing in Bitcoin with company money.
Greenpro thinks that Bitcoin will "produce significant future value for the Company" because it will "provide the opportunity for better returns and preserve the value of our capital over time rather than holding cash."
Company chief executive CK Lee elaborated on the matter:
"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."
According to the company's Q3 earnings report, Greenpro held $559,743 worth of cash or cash equivalents as of September 30th, 2020. The company is seeking to raise "up to $100 million to invest in Bitcoin," as Lee explained.
The company's shares gained 46% during Monday's trading session on the news, per the Wall Street Journal.
Greenpro's intent to sell its cash and to raise debt for Bitcoin comes as a growing number of investors have voiced leanings towards Bitcoin as a hedge against the overall devaluation of fiat money.
MicroStrategy purchased over $1 billion worth of the cryptocurrency using cash and debt, citing similar concerns to Greenpro. More recently, American life insurance company MassMutual bought $100 million worth of bitcoin for its general investment account.
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