KULR Technology Adopts Bitcoin Vault Strategy With $21 Million Purchase, Shares Rise 30%

Key Takeaways

  • KULR Technology Group bought 217.18 bitcoins for $21 million as part of a new treasury strategy.
  • The company’s stock price rose 30% after the announcement of the bitcoin purchase.

KULR Technology has entered the bitcoin market with $21 million buying 217.18 BTC at an average price of $96.556 per Bitcoin.

The acquisition marks the first step in the energy technology company’s newly launched Bitcoin Treasury strategy, announced on December 4, which aims to allocate up to 90% of its excess cash to Bitcoin as a long-term asset.

Coinbase’s Prime platform will provide custodial, USDC and self-custodial wallet services for the company’s funds.

Following the announcement, KULR’s shares rose 30%, trading at $4.55 at press time.

KULR’s move reflects a growing trend among companies to include Bitcoin on their balance sheets.

Marathon Digital Holdings currently holds 44,394 BTCworth $4.2 billion, while Semler Scientific has added 2,084 BTC.

Quantum BioPharma recently announced a $1 million purchase of bitcoin and other digital assets, while Canadian firm Matador Technologies disclosed a $4.5 million purchase of bitcoin on December 23.

Japanese investment firm Metaplanet also recently bought 620 BTC, which was its biggest purchase ever.

By leveraging excess cash for Bitcoin, KULR follows companies such as MicroStrategi, whose Bitcoin investments have set the standard for treasury strategies.

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