Genius Group Ltd, an education tech company, recently made a significant move in the cryptocurrency space by acquiring $10 million worth of Bitcoin on December 30, 2024. This purchase increases the company’s Bitcoin holdings by 50%, bringing the total amount of cryptocurrency acquired to 319.4 BTC.

Genius Group’s Bitcoin Reserve

Genius Group Limited, a Singapore-based AI-powered education and acceleration company, boasts over 5.4 million students worldwide. The company is taking a unique approach by allocating 90% of its funds to Bitcoin, adopting a Bitcoin-first strategy. This move is part of a growing trend among companies to create corporate Bitcoin reserves.

Corporate Bitcoin Reserves: A New Trend

As the cryptocurrency market continues to grow, more companies are turning to Bitcoin as a prime asset in their corporate treasuries. Over one million bitcoins are currently held in corporate treasuries of private and public companies.

Genius Group’s decision to acquire Bitcoin has led to an 11% surge in the company’s stock price. The company’s Bitcoin Treasury Key Performance Indicator (KPI) indicates whether the company’s market cap is above or below the value of its Bitcoin reserves.

“We believe a new type of future-focused, AI-driven, blockchain-based public listed companies can bridge the divide for investors between the current, centralized and regulated world of NYSE, NASDAQ and other stock markets with the future promise of decentralized, exponential economies.”

Corporate Bitcoin Reserves: A Growing Trend

Genius Group is not alone in its decision to create a corporate Bitcoin reserve. Many public and private companies are following suit, including Thumzup media, which aims to hold 90% of its liquid assets in Bitcoin. Other notable companies with significant Bitcoin reserves include MicroStrategy, Marathon Digital Holdings, Galaxy Digital Holdings, and Tesla Inc.

According to Bitcoin Treasuries, over 20 public companies hold over 1,000 bitcoins each, while eight private companies have 1,000+ bitcoin units in their corporate treasuries.

Why Companies Need Bitcoin Reserves

There are several reasons why companies are turning to Bitcoin reserves. These include:

  • Hedge against inflation: Bitcoin serves as a hedge against inflation, providing a safeguard against economic uncertainty.
  • Publicity and progressive image: Creating a Bitcoin reserve can amplify a company’s progressive image and attract attention in the cryptocurrency community.
  • Budget boost: Acquiring Bitcoin can be seen as an effort to quickly boost a company’s budget without having to produce, promote, or improve anything.

While the trend of creating corporate Bitcoin reserves is growing, some experts warn about the feasibility of investing a large portion of a company’s assets in Bitcoin.

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