The Norway-based crypto exchange Norwegian Block Exchange has seen its stock price jumped over 138% in a single day after it said it was starting to buy and hold Bitcoin.
The company said on June 2 it purchased 6 Bitcoin (BTC), worth $633,700 at current prices, with plans to expand its holdings to 10 BTC by the end of the month.
It added that it’s continuing discussions to raise further capital for more Bitcoin buys.
Shares in Norwegian Block Exchange (NBX) stock rose over 138.5% over the June 2 trading day, closing at 0.033 euros ($0.038), according to Google Finance. So far, the stock’s all-time high has been 0.93 euros ($1.06), which it hit in January 2022.
Norwegian Block Exchange’s newly acquired Bitcoin will be used as collateral to issue USDM, a stablecoin on the Cardano blockchain, and generate yield on the Bitcoin and within the Cardano ecosystem.
The platform said that “Bitcoin is becoming an important part of the global financial infrastructure,” and it will use its new holdings to “increase operational efficiency” and attract capital from companies interested in crypto.
The exchange said it will explore offering Bitcoin-backed loans as part of the board’s agenda to become a digital asset bank.
Norwegian firms into Bitcoin a short list
At least one other Norwegian company has also adopted Bitcoin to its balance sheet. In 2021, Aker ASA, a Norwegian industrial holding company, created a subsidiary, Seetee, dedicated to investing in Bitcoin and holding liquid assets in crypto.
Through the subsidiary, Aker holds 1,170 Bitcoin, according to Bitcointreasuries.net, bought at an average cost of $50,200 and worth $123 million at current prices.
Norwegian crypto brokerage firm K33 has also flagged plans to join the growing number of other public companies buying up Bitcoin, raising 60 million Swedish krona ($6.2 million) to buy and hold the cryptocurrency.
Norges Bank, Norway’s $1.7 trillion sovereign wealth fund, indirectly owned 3,821 BTC through its stock market investments by the end of 2024 as well.
After announcing a Bitcoin buying plan, other companies have also seen their stock prices gain. Paris-based crypto company Blockchain Group started buying Bitcoin on Nov. 5, its stock spiked 225% to 0.48 euros ($0.52).
Meanwhile, shares in the Indonesian fintech firm DigiAsia Corp nearly doubled, rising 91%, after the company said it plans to raise $100 million to seed its first of many Bitcoin buys.
Corporate Bitcoin treasuries collectively hold over three million in Bitcoin, worth over $342 billion, according to Bitbo data.
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