A growing number of publicly traded companies are stockpiling digital assets in their corporate treasuries—a sign of growing interest in crypto as prices soar.
But as more firms imitate software firm Strategy’s token-HODLing playbook, things have become weird.
Several publicly traded companies with unorthodox operating businesses are beginning to add Bitcoin and other virtual currencies to their balance sheets. Noodle giants, love hotel operators, and telemedicine cannabis prescribers are among the mix.
What’s inspired them to embrace Bitcoin and other cryptocurrencies?
Some may be hopeful that they can turn to tokens to rescue their struggling businesses, while others may simply be intent on capturing recent tailwinds. And they’re dutifully stacking Satoshis and other assets, even as experts warn that adding crypto to a balance sheet won’t necessarily salvage a poorly run company.
“Most new ‘treasury companies’ are gimmicks, and will likely fail,” Andrew Bailey, senior fellow at the Bitcoin Policy Institute, told Decrypt in June. “A badly run business doesn’t become a good one just because it is acquiring sound money.”
Whether or not they’re on stable footing as a business, these five crypto pivots certainly turned our heads. Here are five of the most curious and unexpected crypto treasury firms we’ve seen pop up to date.
DDC Enterprise
Asian-inspired food giant DDC Enterprise is among the latest firms to embrace the crypto craze. Earlier this month, DDC announced it had closed a massive $528 million raise, with the aim of using the proceeds to build out its Bitcoin treasury.
The Hong Kong-based firm owns several convenience food lines, including Thai-American food brand Yai’s Thai and an Asian-inspired noodles and soups line called Nona Lim. It also owns DayDayCook, a platform for sharing recipes.
The company held 368 BTC as of early July, according to one of its recent statements. Those holdings were recently worth $43.4 million, based on current CoinGecko price data.
And the firm has really embraced the pivot: While “DDC” presumably stood for “DayDayCook” previously, the company now has “Decentralize Digital Capital” on its LinkedIn page and elsewhere. Now that’s a surprising pivot from food brands.
Dogecoin Cash Inc.
Dogecoin Cash Inc. has amassed millions of dollars worth of Dogecoin Cash, a knockoff meme coin inspired by Elon Musk’s favorite cryptocurrency. And while that might make sense, given the firm’s name, the pivot that got it there was certainly interesting.
Formerly called Cannabis Sativia, the Canadian company still operates a business selling high-potency cannabis products. In fact, it holds the first patented cannabis strain, Ecuadorian Sativa or “CTA,” as well as a patent for a cannabis lozenge for individuals with hypertension, according to one of its public statements. It also operates a telemedicine business called PrestoDoctor, which appears primarily focused on medicinal cannabis.
This summer, the firm signaled it will also maintain a Dogecoin treasury—the real Dogecoin, aka DOGE—through a wholly owned subsidiary, a sign of its doubling down on its Strategy-inspired playbook.
The company held 2,020,000,000 Dogecoin Cash (DOG) as of June 13, a public statement from the company shows. Its holdings of the token were recently worth $3.5 million.
The firm’s acquisition target for Dogecoin remains unclear as of publication time.
Metaplanet
Metaplanet, often billed the “Strategy of Japan,” maintained an unusual, non-Bitcoin-related business long before it began holding the asset.
Founded in 1999, Metaplanet has managed budget hotels, including “love hotels,” across Japan.
A so-called love hotel is a type of motel that offers pay-per-hour rooms and other short-stay accommodations for individuals, couples, and groups that are looking for private places for, ahem, personal encounters. (No judgments!)
Metaplanet has become one of the most ardent acolytes of the Strategy model, now holding 15,555 Bitcoin worth $1.84 billion based on current prices, according to data from bitcointreasuries.net.
Solar Bank
Canada-based Solar Bank is a renewable energy developer, engineer, builder, and asset operator.
But while it champions clean energy, it’s also committed to adding a notoriously dirty asset to its balance sheet: Bitcoin. BTC critics have raised concerns about its extreme energy consumption, though to be fair, defenders say that renewable energy is making up a sizable and growing portion of its backing.
Solar Bank announced in June that its plans to buy Bitcoin, using the tokens to establish a Bitcoin treasury. However, the firm has not yet disclosed how many tokens it plans to snap up.
SharpLink Gaming
Gambling marketing firm SharpLink Gaming is taking a gamble of its own, betting big on a popular cryptocurrency.
The Minneapolis-based company announced in May that it had acquired more than $400 million worth of Ethereum, making it the largest holder of the token among publicly traded firms. As of this writing, the firm now holds about $644 million worth of ETH after recent purchases, including $30 million purchased directly from the Ethereum Foundation.
Founded in 2019, SharpLink uses technology to match sports betting companies with fans. It uses AI-powered tools to collect and analyze gamblers’ online behaviors, directing them to relevant betting content—and, hopefully, converting them into paying customers.
Ethereum hasn’t been as popular a treasury bet as Bitcoin, and certainly hasn’t seen the kinds of recent gains that BTC has put up, making this a potentially risky pivot. However, we’ve seen more companies follow SharpLink’s lead and ETH recently topped $3,000 for the first time in five months—so maybe they’re on to something.
