KULR Technology Group, a company specializing in providing energy storage solutions for the aerospace and defense industries, has just purchased more Bitcoin and currently holds approximately 610.3 BTC, worth over $59 million at current market prices.
Continuously Accumulating Bitcoin
#KULR started buying Bitcoin last December with 217.18 BTC worth approximately $21 million. The company then continued to spend an additional $21 million to buy Bitcoin last month.
Recently, KULR announced an additional $10 million to increase its BTC holdings to 610.3 BTC. The company also stated it would use up to 90% of its cash reserves to buy more Bitcoin in the future.
Strategy Similar to MicroStrategy
KULR is following the strategy of #strategy (formerly MicroStrategy) – a software company famous for accumulating huge amounts of Bitcoin since 2020.
Strategy currently holds 478,740 BTC, worth approximately $46.4 billion, and believes that investing in Bitcoin will yield higher returns for shareholders. The chairman of Strategy, Michael Saylor, believes that buying $BTC could help a company "last forever."
New Trends in American Business
KULR is not the only company choosing to invest in Bitcoin. Many publicly listed companies in the U.S. are also adopting similar strategies, including:
Thumzup (social media marketing company) Cosmos Health (healthcare company) Rumble (video streaming platform)
These companies view Bitcoin as a valuable store of value and a way to preserve capital in a volatile economic environment.
Risks and Challenges
However, not everyone is optimistic about this strategy. KULR's stock has fallen more than 4% after announcing additional Bitcoin purchases, currently trading at $2.26 per share. This indicates that the volatility of the crypto market remains a significant risk that investors need to consider.
Risk Warning
Investing in cryptocurrency always carries high risks and can lead to asset losses. Readers should thoroughly research information and consider risks before making investment decisions.