Major Japanese game development company Nexon is the latest publicly traded company to make a major investment in Bitcoin.
On April 28, Nexon announced that it acquired 1,717 BTC for nearly $ 100 million at an average price of $ 58,226 each after tax. The company indicated that investments represent less than 2% of “total cash and cash equivalents”. Owen Mahoney, President and CEO of Nexon stated:
Our buying of Bitcoin reflects a disciplined strategy to protect shareholder value and preserve the purchasing power of our cash assets. We believe that in the current economic environment, Bitcoin provides long-term stability and liquidity while preserving our value for money for future investments. ”
Mahoney added that Bitcoin is “a form of cash that is likely to hold its value, although it is not yet widely accepted.”
Nexon’s investment came on the heels of a wave of major Bitcoin prizes from the world’s leading companies: MicroStrategy started the trend in August 2020 when it bought 21,000 BTC for $ 250 million, followed by Square with $ 50 million in October and Tesla with an investment of $ 1.5 billion. At the end of 2020.
According to Bitcoin Bonds, there are currently 35 companies listed with Bitcoin on their balance sheets.
Founded in 1994, Nexon establishes itself as a manufacturer, developing and managing online games and virtual worlds. The company was listed on the Tokyo Stock Exchange in December 2011 and currently operates over 50 online games that can be played in more than 190 countries.
Nexon isn’t the first major Japanese company to adopt cryptocurrency: in 2016, the country passed laws recognizing digital assets as legal tender.
Later that year, leading finance company SBI announced plans to launch a bank-backed virtual currency exchange following investments in Ripple and the local trading platform bitFlyer. Japanese internet group GMO also announced a $ 3 million investment in bitcoin mining in 2017.