The publicly listed company Dogecoin Cash Inc. (OTCQB: DOGP) recently announced a strategic transformation, establishing a wholly-owned subsidiary, Dogecoin Treasury Inc. (DTI), focused on the management of Dogecoin (DOGE) assets and the development of the 'Dogecoin Protocol.' This company, formerly known as Cannabis Sativia, after renaming in November 2024, is making another business adjustment, showcasing a complete transformation from medical cannabis to the blockchain field.
The company's transformation journey
Dogecoin Cash's predecessor, Cannabis Sativia, previously focused on medical cannabis business, with its core online service platform 'Presto Doctors' providing medical consultations to patients, helping residents in legal states obtain medical cannabis cards and facilitating cannabis delivery. After the renaming in 2024, the company aims to build a bridge between the cannabis industry and decentralized finance, mainly focusing on the application potential of blockchain technology in supply chain traceability and efficiency enhancement.
Strategic layout and asset allocation
The newly established Dogecoin Treasury Inc. will focus on three areas of work:
Developing tools related to Dogecoin
Managing DOGE digital assets
Coordinating the development of the 'Dogecoin Protocol'
A company spokesperson stated: 'By establishing a dedicated Dogecoin reserve subsidiary, we can better coordinate the relationship between Dogecoin technology development and the overall business strategy.' However, the company also emphasized that the relevant on-chain protocol is still in the early stages of development, and the specific launch time has not yet been determined.
In terms of asset allocation, the company currently holds over 2 billion DOGE (approximately 6 million USD) and acquired 4 billion DOG tokens through Meme Coins Inc., demonstrating a long-term optimism towards the Dogecoin ecosystem.
Market response and industry comparison
This practice of incorporating meme coins into the balance sheet is relatively rare in the industry. While institutions like Spirit Blockchain Capital and Neptune Digital Assets also hold DOGE, their holdings are dispersed. The model of concentrating management of meme coin assets through subsidiaries, as seen with Dogecoin Cash, is a first in the industry.
In the market, as of the latest trading day, the DOGE price dropped nearly 5%, reported at 0.16 USD.
Dogecoin Cash Inc.'s stock price fell by 2%, with the company's current market value around 4 million USD. This market reaction shows that investors are still taking a wait-and-see approach regarding the company's strategic transformation.
