Bitcoin News Today: LiveOne Invests Millions in Bitcoin at $117,885 Aiming for Treasury Diversification

LiveOne, a U.S.-listed entertainment company, has entered the cryptocurrency market by purchasing Bitcoin at an average price of $117,885 per coin, with a total investment amounting to several million dollars. This acquisition marks the company’s formal adoption of a Bitcoin treasury model, as it seeks to integrate digital assets into its long-term financial strategy. The company disclosed the move in a recent announcement, positioning itself as part of a broader trend among publicly traded firms exploring alternative assets to enhance shareholder value [1].

The Bitcoin yield strategy is being managed by ARCA, a fintech firm specializing in institutional-grade crypto custody and yield solutions. LiveOne’s decision to partner with ARCA underscores its commitment to a structured and professional approach in managing digital assets. Additionally, Anchorage Digital has been entrusted with the custody of LiveOne’s Bitcoin holdings, ensuring secure storage and regulatory compliance [2].

This initiative follows a recent public offering in which LiveOne raised $8.9 million in common stock, specifically to fund its Bitcoin yield strategy. The company has allocated $10 million as the initial capital for this strategy, with the board of directors approving a total allocation of up to $500 million. This broader expansion plan includes both business development and strategic investments across digital platforms, though the exact portion dedicated to Bitcoin remains unspecified [3].

LiveOne’s move to invest at such a high average price of $117,885 reflects a confident outlook on Bitcoin’s future performance, particularly during a bull market phase. The company is likely to face scrutiny from investors as it navigates the volatility of the crypto market. However, by committing substantial capital and adopting a long-term strategy, LiveOne aims to hedge against macroeconomic volatility and diversify its balance sheet [4].

The integration of Bitcoin into its treasury strategy aligns with a growing institutional acceptance of digital assets. As more companies explore crypto as a legitimate asset class, LiveOne’s transparent and strategic approach may serve as a model for others seeking to benefit from the evolving financial landscape [5].

Sources:

[1] LiveOne Announces Bitcoin Treasury Model, Commits... (https://stocktwits.com/news-articles/markets/equity/live-one-pivots-to-bitcoin-treasury-model-commits-500-m-for-expansion/chsR869RdOp)

[2] LiveOne (Nasdaq: LVO) Launches Bitcoin Partnership with... (https://www.gurufocus.com/news/3062390/liveone-nasdaq-lvo-launches-bitcoin-partnership-with-arca-utilizing-102m-capital-raise-lvo-stock-news)

[3] LiveOne Announces Bitcoin Treasury Model, Commits $500M For Expansion. The Los Angeles-based entertainment platform has partnered with ARCA to launch a Bitcoin... (https://stocktwits.com/news-articles/markets/equity/philips-plans-150-million-new-investments-us-manufacturing-r-and-d/chsRrRhRdOD)

[4] LiveOne (Nasdaq: LVO) Launches Bitcoin Partnership With... (https://www.barchart.com/story/news/34156326/liveone-nasdaq-lvo-launches-bitcoin-partnership-with-arca-utilizing-10-2m-capital-raise)

[5] LVO - Liveone Inc Latest Stock News & Market Updates (https://www.stocktitan.net/news/LVO/)