Biopharma Giant Invests $1 Million In Bitcoin. Why Didn’t Investors Appreciate It?

Large companies continue to buy Bitcoins for serious amounts. For example, at the end of last week, the management of MARA Holdings reported the purchase of 15,574 BTC. Thanks to this, the total amount of cryptocurrency accumulated by the giant miner reached 44,394 coins.

Hut 8 held a $100 million round of investment, for which 990 coins were received. Thus, the giant’s strategic Bitcoin reserve exceeded the 10 thousand BTC mark.

Who invests money in cryptocurrencies

Quantum BioPharma shareholders were not particularly pleased with the fresh initiative, as the news of the crypto purchase caused a massive sell-off of the company’s securities. Since the announcement, the QNTUM rate has fallen by almost 10 percent, which is a serious event on the stock market.

Quantum BioPharma is also listed on the Canadian and Frankfurt Stock Exchanges. The company offers biotech solutions to treat a variety of diseases, including neurodegenerative disorders, metabolic syndromes, and alcohol use disorders.

In connection with the cryptocurrency investment, another official statement was made on the matter, which is cited by Cointelegraph .

The company is now ready to accept cryptocurrency funding, as well as carry out other types of transactions using cryptocurrencies.

In general, more and more companies not related to the crypto industry are turning to coins to diversify their assets and protect themselves from inflation. The desire of some states to invest in Bitcoin also deserves special mention. As we found out the day before, representatives of the legislative branch of power from Texas, Pennsylvania and Ohio are counting on such a prospect. Moreover, in most cases, the initiative is explained by the general rise in prices in the country and the gradual depreciation of the dollar.

In the U.S., inflation rose 2.7 percent year-on-year in November 2024, up from 2.6 percent in October. The monthly consumer price index (CPI) rose 0.3 percent in November, the largest increase in seven months. However, the situation is still much better on a year-on-year basis.

In November, health and herbal e-commerce company Jiva Technologies approved a plan to invest up to $1 million in Bitcoin, which the giant called a potentially inflation-resistant store of value.

On November 20, biopharmaceutical company Hoth Therapeutics spent a million dollars to acquire Bitcoin. However, the record holder in this area is still MicroStrategy. Since August 2020, the giant has been actively buying Bitcoin and is the largest corporate holder of the main cryptocurrency as of December 2024.

The company currently has 444,262 bitcoins, with $27.7 billion invested. The latest purchase was announced today by the giant’s founder, Michael Saylor: MicroStrategy has purchased 5,262 BTC for $561 million. As a result, the average purchase price of each bitcoin is $62,257.

Meanwhile, other major corporations like Microsoft and Amazon regularly face pressure from some shareholders to add Bitcoin to their portfolios as a potential hedge against inflation. However, Microsoft shareholders voted against the proposal at the company’s annual meeting on December 10. The board called the proposal “not practical” and said the company was “already studying the matter thoroughly.”

Video hosting service Rumble also previously announced plans to add BTC to its portfolio. The board of directors approved the allocation of up to $20 million from the company’s excess cash reserves to purchase BTC.

With that in mind, Rumble has received $775 million in investment from the issuer of the market’s largest stablecoin, Tether, a move Tether CEO Paolo Ardoino commented on on Twitter.

Tether deeply believes in the fundamental values ​​of free speech and financial freedom. Our strategic investment in Rumble greatly underscores Tether’s focus on supporting technologies and companies that empower people, ensuring the independence and sustainability of our society.

Ardonio added that he is optimistic about the recent move by Rumble CEO Chris Pawlowski and his team, which sees Tether and Rumble eventually partnering on advertising, cloud computing, and crypto payments.

Pavlovsky also commented on the deal.

YouTube, watch out. I’m coming for your monopoly market share worldwide.

Following the announcement, Rumble (RUM) stock price rose 51.60 percent in over-the-counter trading to $10.90 by press time. As we can see, large investments related to the crypto market may well become a trend aimed at hyping up the stockholders.