Bitcoin has once again become the focus of the financial market, with listed companies increasingly following it.

Recently, Bitcoin's price has once again attracted market attention. The other day, Bitcoin soared to $73,660, just a step away from the historical high of $73,881.3 set on March 14 of this year. Against the backdrop of current political changes, the market generally expects Bitcoin's price to break the $100,000 barrier by the end of the year.

This market has also attracted the attention of publicly listed companies. It is reported that a globally renowned technology company recently submitted documents to the U.S. Securities and Exchange Commission, indicating that it will vote on the topic of "evaluating investment in Bitcoin" at the shareholders' meeting on December 10. Although the company's board has expressed opposition to this proposal, the attitudes of the shareholders vary.

As one of the most influential companies in the world, the tech giant's mere consideration of investing in Bitcoin carries far-reaching significance. Meanwhile, other publicly traded companies that have already invested in Bitcoin have reaped substantial returns in the current market, undoubtedly setting an example for other companies.

It is not new for listed companies to invest in Bitcoin.

In fact, it is no longer a novelty for listed companies to invest in Bitcoin. Data shows that currently 29 listed companies hold Bitcoin, totaling 360,000 coins, worth over 2.6 billion USD. Among them, the most representative is a certain software company.

Since the first purchase of Bitcoin in August 2020, the company has consistently implemented a buy-and-hold strategy. As of the third quarter of 2024, the company has cumulatively invested approximately $9.9 billion to purchase 252,220 Bitcoins, becoming the publicly listed company with the largest Bitcoin holdings globally. The company's latest financial report indicates that it will continue to raise substantial funds over the next three years to purchase more Bitcoin as financial reserve assets.

It has been proven that the company's Bitcoin investment strategy has achieved great success. The company's average purchase price for each Bitcoin was around $39,266, while the current Bitcoin price has surged to about $72,000. The company's stock price has also hit a new high in 25 years, successfully entering the $50 billion club. Reports indicate that the company's stock performance over the past two years has outperformed almost all large U.S. stocks, including a well-known chip company.

In addition, other well-known companies also hold a large amount of Bitcoin. A certain electric vehicle manufacturer purchased Bitcoin worth $1.5 billion in February 2021. As of the third quarter of 2024, the company still holds Bitcoin worth $763 million, ranking fourth among publicly listed companies in terms of holdings. Notably, since reducing its holdings by 75% in the second quarter of 2022, the company has not sold any Bitcoin for two consecutive years, demonstrating a bullish attitude towards Bitcoin in the long term.

Conclusion

Overall, although some company boards are cautious about investing in Bitcoin, in the long run, as the value of Bitcoin increases and its mainstream adoption progresses, it may become common for publicly traded companies to include it as one of the diversified asset allocations. However, the current volatility of Bitcoin and compliance issues remain the main challenges faced by public companies.

It is encouraging to see signs of loosening at the regulatory level. At the end of last year, the Financial Accounting Standards Board of the United States issued new regulations allowing the use of Bitcoin fair value accounting for fiscal years beginning after December 15, 2024. This change is expected to address the accounting challenges faced by publicly traded companies holding Bitcoin, clearing the way for more companies to invest in Bitcoin.

It is foreseeable that with the improvement of the regulatory environment and the enhancement of market awareness, Bitcoin's position in the asset allocation of listed companies is expected to further increase.