Canada-based Jiva Technologies plans to allocate up to $1 million to as part of its treasury strategy, joining a growing list of firms embracing Bitcoin for financial resilience.Jiva Technologies, which recently rebranded from PlantX Life in early November, revealed its decision after the company’s board of directors approved the move.The wellness-focused e-commerce firm views Bitcoin as a valuable addition to its reserves, which has the potential to serve as a hedge against inflation during economic uncertainty.According to Lorne Rapkin, CEO of Jiva Technologies, “Bitcoin’s scarcity and finite supply” position it as a “modern hedge against inflation,” thus making it suitable for the company’s treasury.
He also attributed the decision to increasing institutional adoption of Bitcoin, pointing to the over $30 billion in inflows that spot US Bitcoin exchange-traded funds have witnessed since their launch.Jiva Technologies operates in the wellness sector, running Bloombox Club, a plant delivery platform serving the US, UK, and Europe, but has recently taken an interest in cryptocurrencies. The company recently partnered with Kale Coin, an Ethereum-based cryptocurrency developed for the wellness industry, as part of its effort to integrate digital assets into its ecosystem.After the announcement, the company’s stock initially surged over 30%. However, the gains have since settled at around 10%, according to Google (NASDAQ:) Finance data.
Bitcoin as a treasury asset
Bitcoin’s rally, sparked by Donald Trump’s US election victory and the resulting optimism for regulatory clarity in the world’s largest economy, has bolstered the flagship cryptocurrency’s standing as a credible asset.The surge in demand has led to a wave of companies adopting Bitcoin as a treasury asset, with several high-profile announcements made throughout November.Earlier in the month, artificial intelligence firm Genius Group acquired 110 BTC for $10 million as part of its treasury reserve. Just days later, Biopharmaceutical company
Hoth Therapeutics (NASDAQ:), on November 20, disclosed plans to invest $1 million in Bitcoin, citing Bitcoin’s role as an inflation hedge and providing a reliable store of value.Similarly, Anixa Biosciences, a biotech firm focusing on cancer research, announced its Bitcoin investment strategy on November 22. The company aims to enhance shareholder value while diversifying its treasury holdings.More recently, on November 25, video-sharing platform Rumble announced it would allocate up to $20 million of its cash reserves to Bitcoin.These companies follow in the footsteps of pioneers like MicroStrategy and Metaplanet, who have incorporated Bitcoin into their financial strategies. MicroStrategy remains the largest corporate holder of Bitcoin, with its recent acquisition of 51,780 BTC bringing its total holdings to 331,200 BTC, valued at over $32.6 billion.Publicly listed Japanese firm Metaplanet, holding 1,142.87 BTC, also adopted Bitcoin as a core asset of its treasury earlier this year to counter economic challenges in Japan.
This article first appeared on Invezz.com
