Nexon, based in Tokyo, said Wednesday that the company had bought $100 million in bitcoins, one of the publicly traded developing companies to own the cryptocurrency.
The video game provider, founded through Korean billionaire Kim Jung-ju, said it bought 1,717 bitcoins at an average value of $58226 consistent with the piece, adding expenses and expenses.
The transaction accounts for 2% of Nexon’s total money and monetary equivalents as of December 2020, the company said.
“Our bitcoin acquisition reflects a disciplined strategy to protect shareholder prices and maintain the purchasing force of our money flow,” Owen Mahoney, Nexon’s president and chief executive, said in a statement. “In today’s economic environment, Bitcoin gives a lot of time – long-term liquidity and stability, keeping the price of our money flow for long-term investments. “
Mahoney explained on Wednesday Nexon’s resolve to invest the company’s cash in Bitcoin in a separate blog post and stated that the company’s liquidity, in the existing traditionally low interest rate environment, hardly generates returns.
“Even junk bonds, which pose a superior threat and were once known as ‘high yield’, have a source of ‘threat without rewards’,” he said, adding that the company sees Bitcoin as a form of money that can simply retain its value.
“Since January 2020, the United States has published 40% more dollars than before. We are aware of conversations with central banks or Treasury departments, but we anticipate a short-term ending. “
A growing number of companies, such as Tesla, Square and MicroStrategy, have to incorporate bitcoin into their balance sheets, but Japanese companies, which had quickly settled for bitcoins, were relatively slower to adopt the same trend.