Publicly-listed Rumble Inc, a video-sharing and cloud services provider, announced Monday its board has approved a strategy to allocate up to $20 million of its cash reserves into Bitcoin.
Its move aligns with a growing trend of corporate Bitcoin adoption championed by firms like MicroStrategy and Metaplanet Holdings.
The Nasdaq-listed company’s said its diversification strategy underscores its belief in Bitcoin as a hedge against inflation and a tool for long-term value preservation.
“We believe that the world is still in the early stages of the adoption of Bitcoin,” Rumble’s Pavlovski who is also chairman and CEO, said in the statement.
The company also aims to strengthen its positioning as a platform of choice for the crypto community, according to a statement.
Founded in 2013 by Chris Pavlovski, Rumble offers a platform for users to upload, share, and monetize video content. It has gained popularity among American conservative and right-wing users and is considered part of the “alt-tech” movement.
Rumble’s Bitcoin allocation adds momentum to the ongoing corporate adoption of digital assets, which has seen accelerated interest amid rising inflation concerns and the mainstreaming of crypto.
“Unlike any government-issued currency, Bitcoin is not subject to dilution through endless money-printing, enabling it to be a valuable inflation hedge and an excellent addition to our treasury,” Pavlovski said.
Its move mirrors the path of MicroStrategy, which has become a notable Bitcoin advocate since 2020. The enterprise software firm has over $37.5 billion worth of the asset, touting it as a superior store of value compared to cash.
Metaplanet Holdings, founded by Skype co-creator Jaan Tallinn, has also integrated Bitcoin into its financial strategy, leveraging the crypto for diversification and as an inflation hedge.
The timing and extent of Rumble’s Bitcoin purchases will depend on market conditions, Bitcoin’s trading price, and the company’s liquidity needs, per the statement.
Pavlovski also emphasized that the strategy is flexible and may be revised or suspended as needed.
