Animoca Research: The risks of altcoin reserve strategies are significant, but they could become a potential catalyst for driving large-scale adoption of cryptocurrencies.

According to CoinWorld news, on July 18 (UTC+8), Animoca Brands Research released the latest report titled (Altcoin Strategic Reserves). The report indicated that some companies are increasing their holdings of cryptocurrencies through the issuance of convertible bonds and equity, gradually enhancing their exposure to the crypto market. This strategy originated from companies like MicroStrategy, which holds over 600,000 bitcoins, viewing bitcoin as a tool against inflation.

Nowadays, companies are also beginning to pay attention to altcoins, adding crypto assets such as BNB, TRX, HYPE, and FET to their balance sheets, providing opportunities for investors who lack direct investment channels. According to Animoca's statistics, companies that announced holding altcoins responded positively in stock prices, with an average single-day increase of 150%, a rise of 185% within a week, and an increase of 226% within a month.

However, investing in altcoins carries significant risks, as they are often highly volatile and lack liquidity. The report also points out that if altcoins are used for staking or other network functions, it may enhance the overall security and liquidity of the ecosystem, promoting broader adoption of cryptocurrencies.