TLDR
- Jiuzi Holdings will invest up to $1 billion from its cash reserves into Bitcoin, Ethereum, and Binance Coin.
- The company aims to use digital assets as long-term stores of value to protect against macroeconomic uncertainties.
- The new COO, Dr. Doug Buerger, is leading the initiative, emphasizing that the move is not for short-term speculation.
- Jiuzi Holdings has established a dedicated risk committee under CFO Huijie Gao to oversee the crypto investments.
- The company will not self-custody its digital assets, opting instead for third-party custody specialists with top-tier standards.
Jiuzi Holdings has announced a major decision to invest up to $1 billion of its cash reserves into three prominent digital assets. The move, part of the company’s broader strategy, reflects its belief in cryptocurrencies as long-term stores of value. The assets in question are Bitcoin (BTC), Ethereum (ETH), and Binance Coin (BNB). This announcement comes after the company appointed Dr. Doug Buerger as Chief Operating Officer (COO), signaling a new direction for the corporate treasury.
Bitcoin as a Core Strategic Reserve
Jiuzi Holdings will allocate a portion of its $1 billion treasury into Bitcoin, a key element of the strategy. Bitcoin, the largest cryptocurrency by market capitalization, will play a significant role in the company’s reserve strategy. Dr. Doug Buerger, who has a deep background in digital assets, emphasized the importance of Bitcoin for long-term growth. “We view Bitcoin not as a short-term trading asset, but as a hedge against macroeconomic challenges,” Buerger said in the announcement.
The company’s decision to focus on Bitcoin aligns with a growing trend among public companies to incorporate digital assets into their balance sheets. By investing in Bitcoin, Jiuzi Holdings aims to diversify its reserve assets and reduce exposure to traditional economic risks. This move signals the company’s commitment to staying ahead in the rapidly changing digital finance landscape.
Jiuzi Holdings Includes Ethereum in $1B Treasury Plan
Ethereum will also be a central part of Jiuzi Holdings’ $1 billion treasury plan. Ethereum, with its robust smart contract capabilities and widespread adoption, is seen as a long-term store of value. The company believes that Ethereum’s position in decentralized finance (DeFi) and its potential for growth will support its role as a strategic asset.
CFO Huijie Gao, who oversees the new risk committee, sees Ethereum as an essential component of the broader digital asset strategy. “Ethereum’s ongoing development and its large ecosystem make it a valuable asset for our portfolio,” Gao stated. Jiuzi Holdings recognizes Ethereum’s potential not just in digital finance, but also in its growing impact on various sectors, such as finance and technology.
Alongside Bitcoin and Ethereum, Binance Coin (BNB) is a crucial asset in Jiuzi Holdings’ $1 billion plan. Binance Coin has become a major player in the digital asset space due to its strong ties with the Binance exchange, one of the largest global cryptocurrency exchanges. Jiuzi Holdings sees BNB as a reliable asset with the potential for significant long-term value.
