Deep Sea Mining Company Buys First 4 BTC for its $1.2 Billion Bitcoin Treasury Strategy

Green Minerals (GEM), a deep-sea mining firm, has bought 4 BTC on Wednesday as part of its strategy, announced on Monday, to acquire a $1.2 billion Bitcoin treasury. Green Minerals is joining many crypto companies building treasury strategies to convert various finance methodologies into cryptocurrencies as a store of value. The 4 BTC purchased for $420,000 at $105,000 per token, which amounts to 4.25 million Norwegian Kroner. Green Minerals is listed on the Oslo exchange and wishes to engage in a tech-centric business operations model. Stale Rodahl, executive chairman of Green Minerals, said that Bitcoin was a hedge against inflation and had the added benefit of being decentralized. Rodahl believes that Bitcoin tackles the issue of fiat debasement and could sustain the company through uncertain times. Green Minerals announced earlier this week that the deep-sea mining company was adopting a Bitcoin treasury strategy to coincide with its sustainable mining business. The company stated explicitly that it invested in Bitcoin to offset the risks inherent to fiat currencies, which can be subjected to inflation and geopolitical risks. Green Minerals further wants to adopt blockchain technologies to modernize its operations. Rodahl, Green Minerals’ executive chairman, said it was important to maintain a strong balance sheet while enduring economic disruptions. The company plans to finance up to $1.2 billion through its Bitcoin treasury strategy. Green Minerals, however, wishes to maintain its regular operations and wants to integrate blockchain technology into its business model. Rodahl stated that Bitcoin can enhance transparency and trace supply chain networks. The company is committed to its capital expenditure goals and uses blockchain to digitise its treasury. Green Minerals will use a BTC/share metric so that shareholders can track the strength of its Bitcoin treasury. The company announced earlier this week that the treasury strategy would establish the company as a leader in finance innovations and technological business models. The company already prides itself as a leader in sustainable underwater mining operations, but wishes to embrace blockchain technology. Treasury strategy adoption is up 13% from last month due to an increased interest in holding crypto on the balance sheet. Green Minerals is just another company adding to this newfound trend. The corporate world has discovered a new use of crypto, which the blockchain community hasn’t thoroughly analysed. There are now over 245 companies holding Bitcoin on their balance sheets. These companies collectively hold around $88 billion, which adds substantive value to the BTC token. Meanwhile, Green Minerals’ stock price dropped by 20% on Tuesday after the initial announcement. The company wishes to use transparent methods regarding acquiring Bitcoin and will update shareholders with any changes to the balance sheet. Rodahl assured investors that the Bitcoin strategy will support regular business operations to enhance technological efficiency and promote a future-oriented business model. Green Minerals plans to acquire its target of $1.2 billion worth of Bitcoin by working with its partners to devise programs to finance the acquisition. Green Minerals has now acquired its first 4 BTC as part of this plan, to start the process immediately. At the current $106,500 per Bitcoin price, the company could reach its target of $1.2 billion by buying 11,255 BTC. The company also wishes to integrate blockchain innovations into its business model to remain competitive in the underwater sustainable mining industry and prepare the business for any regulatory changes. As regards the mining industry, Green Minerals says that blockchain technology can be applied to supply chain verification and mineral origin certification. Norway, the country where Green Minerals resides, announced last week that it will temporarily ban Bitcoin mining centres to prioritise energy levels and meet environmental targets. The Labour government in Norway is concerned that Bitcoin is extracted with maximum computation efficiency, upsetting their key targets of reducing pollution levels. The Labour Party has commented that they would like to prioritise energy levels from Bitcoin data centres over those of community data centres. This illustrates how the Norwegian government values climate policy and views proof-of-work mechanisms as an obstacle to its strategic goals. Yet the government has stated that it values blockchain and AI technology. The Labour government does not wish to impede innovation in Norway, but wants to prioritise energy supply so that other industries can enjoy government subsidies. Green Minerals, meanwhile, may be accumulating a Bitcoin treasury to deal with regulatory uncertainty amidst an evolving public sector.

Source: ZyCrypto