Boyaa Interactive International, a Hong Kong-based company known for its online card and board games, has shifted its crypto treasury strategy by exchanging $49 million worth of Ether (ETH) for Bitcoin (BTC). The move aligns with the company’s broader strategy to increase its Bitcoin reserves.
Increasing Bitcoin Reserves
Between November 19 and 28, Boyaa Interactive conducted an open-market conversion of its Ether holdings into Bitcoin. This latest acquisition brings the company’s total Bitcoin reserves to 3,183 BTC, valued at approximately $310.7 million at current prices, according to CoinGecko. This is a significant increase from the 2,635 BTC held at the end of September.
The company’s board of directors approved the shift, citing Bitcoin’s future potential and its alignment with Boyaa’s strategic goals. In a statement, Boyaa explained, “The purchase, holding of BTC, and continuous expansion of BTC reserves is an important strategy of the Group.”
Strategic Shift in Crypto Treasury
Boyaa’s crypto treasury strategy began in November 2023 when the board approved a $100 million allocation to digital assets. This included $45 million each for Bitcoin and Ether, with the remaining $10 million allocated to stablecoins. However, the latest shift indicates a pivot toward Bitcoin as the company reassesses the prospects of its crypto investments.
As of the company’s third-quarter report on November 21, Boyaa’s treasury included 2,635 BTC and 15,388 ETH. Since then, Bitcoin has gained over 6% to surpass $96,000, while Ether has outperformed with an 18.3% rise to $3,669.
Impact on Stock Performance
Boyaa Interactive’s foray into cryptocurrencies has coincided with a significant rise in its stock price. Over the past year, the company’s stock has surged 874%, currently trading at $0.68 (HKD 5.26). Despite this impressive growth, the stock remains below its all-time high of $1.81 (HKD 14.06), according to Google Finance.
The company attributed some of its stock’s growth to the adoption of cryptocurrencies in its treasury strategy, highlighting Bitcoin’s role in driving value for shareholders.
Boyaa Interactive is part of a growing list of companies increasing their Bitcoin holdings. MicroStrategy recently expanded its Bitcoin reserves by 55,000 BTC, while other firms like Rumble, Semler Scientific, and Genius Group also made significant Bitcoin acquisitions in November. This trend underscores the growing appeal of Bitcoin as a strategic asset for corporations.
