BTCS Inc. (OTCQB: BTCS), a U.S.-based digital asset and blockchain technology-focused company, announced on Monday the latest update of its business and digital asset portfolio. Founded in 2013, BTCS claims to be one of the first U.S. publicly traded companies focused on digital assets and blockchain technologies. It is planning to acquire additional Digital Assets to provide investors with indirect ownership of Digital Assets that are not securities, such as bitcoin and ether.
“We intend to acquire Digital Assets through open market purchases. Additionally, if an acceptable return on investment exists, we may acquire Digital Assets by resuming our mining operations through outsourced data centers and earning rewards in Digital Assets by securing their respective blockchains. We are not limiting our assets to a single type of Digital Asset and may purchase a variety of Digital Assets that appear to benefit our shareholders, subject to the limitations of the Investment Company Act of 1940. We are also internally developing a digital asset data analytics platform.”
BTCS Reported that through timely purchases of Bitcoin and Ethereum, it has substantially grown its digital asset portfolio one the past 18 months. The Fair Market Value of the company’s digital asset position increased 1,327% to $3.9 million in 12-months ended December 31, 2020. BTCS further explained:
“The Company believes Bitcoin, Ethereum, and certain other digital assets are a great store of value and can be an effective hedge against monetary debasement in the wake of multi-trillion-dollar economic bailouts. Bitcoin has rallied over 700% from its March 2020 low, which the Company believes is driven by institutional interest in digital assets, PayPal allowing its customers to buy and sell bitcoin through their platform, and a flight to safety during the ongoing COVID-19 pandemic and political turmoil. On January 8, 2021, the Company’s digital asset portfolio had a Fair Market Value of approximately $7 million, which includes $800,000 worth of digital assets purchased with the proceeds of management’s recent $1.1 million investment.”
Speaking about the company’s progress, Charles Allen, CEO of BTCS, added:
“Our original thesis that has guided our operating decisions across the years has proven very prescient over the past 12 months. While we are pleased with the strong gains of 2020, management believes the best is ahead for BTCS and recently backed this belief by investing $1.1 million into the Company, representing a substantial financial commitment. We want to thank our shareholders for their continued support and look forward to sharing more of our successes with you in 2021 and beyond.”