Bitcoin is showing a strong recovery after a drop of nearly 15% last week. Institutional adoption of BTC is increasing as large companies are adding Bitcoin to their balance sheets. Nexon, a leading gaming company in Japan, became the latest public company to join the Bitcoin club.
According to an official press release by the company, Nexon bought 1,717 Bitcoin for nearly 11 billion yen ($100 million) at an average price of $58,226 per BTC. Nexon mentioned that the recent investment accounts for about 2% of the company’s total cash.
Commenting on the latest announcement, Owen Mahoney, President and CEO of Nexon, said: “Our purchase of Bitcoin reflects a disciplined strategy for protecting shareholder value and for maintaining the purchasing power of our cash assets. In the current economic environment, we believe bitcoin offers long-term stability and liquidity while maintaining the value of our cash for future investments.”
Bitcoin faced a volatile April as the price of the world’s most valuable digital coin touched the high of $64,600 and a low of approximately $47,000 in the same month. As of writing, Bitcoin is trading near $55,000 with a market capitalization of more than $1.02 trillion. BTC’s market dominance dropped to the lowest level in more than 3 years at 49.4%.
Adoption of Bitcoin in Asia
The latest announcement from the Japanese gaming company Nexon came after Chinese app developer, Meitu revealed approximately $100 million investment in various cryptocurrency assets, including Bitcoin and Ethereum. Meitu bought nearly $40 million worth of ETH and BTC during the second week of March 2021 and accelerated its cryptocurrency portfolio with the addition of 386 Bitcoin and 16,000 Ethereum on 17 March. Changpeng Zhao, CEO of digital exchange Binance, recently mentioned in a Tweet that several large organizations in Asia are holding Bitcoin but they are not making it public.
Earlier this week, Dan Schulman, President and CEO of PayPal, highlighted the growing demand for Bitcoin and other digital currencies.