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GDC Commits $300 Million to Bitcoin and Trump Token Amid Financial Struggles

Coin WorldTuesday, May 13, 2025 2:34 am ET

1min read

Nasdaq-listed gd culture group (GDC) has made a significant move by committing up to $300 million toward Bitcoin (BTC) and the Trump-themed OFFICIAL TRUMP (TRUMP) token. This investment is part of a stock purchase agreement with a British Virgin Islands-based investor and aims to build a long-term crypto reserve. gdc plans to hold these digital assets as part of its treasury operations, demonstrating strong confidence in the future of cryptocurrencies.

GDC’s decision to add Bitcoin and TRUMP tokens to its balance sheet aligns with a broader trend of public companies integrating crypto into their financial strategies. This move supports GDC’s digital business focus, particularly through its subsidiary AI Catalysis, which operates in the livestreaming e-commerce space. The company’s push toward decentralized finance (DeFi) and blockchain adoption reflects its strategic shift towards embracing digital assets with strong brand recognition and growth potential.

Despite this crypto push, GDC is currently facing financial challenges. The company reported a $14.1 million net loss for 2024, a slight improvement from the previous year’s $14.3 million loss. Additionally, Nasdaq issued a warning stating that GDC failed to meet the required $2.5 million stockholders’ equity. The company now has 45 days to submit a plan to regain compliance or face the risk of delisting.

Chairman and CEO Xiaojian Wang views the company’s crypto pivot as intentional and aligned with market shifts. He believes this strategy will boost GDC’s balance sheet and unlock new growth opportunities. “We’re confident this will drive long-term value for our shareholders,” Wang said, emphasizing the company’s belief in blockchain as the future of finance.

However, not everyone is convinced. Crypto analyst Eva Lenoir criticized the move, saying Bitcoin isn’t meant to be a “toy for the elites.” She compared the investment to “a warship sailing with paper sails,” questioning the logic of mixing political tokens like TRUMP with serious treasury assets. The inclusion of politically tied tokens adds a layer of controversy to an already high-risk play, making GDC’s $300 million crypto push one of the boldest moves by a public company in recent months.

GDC’s main business, besides crypto, focuses on AI digital humans and livestream e-commerce through subsidiaries. Like MicroStrategy and Metaplanet, GDC is adding crypto to its treasury amid rising corporate interest in digital assets. This move is likely to encourage other companies to explore similar investment opportunities, further driving the adoption and integration of digital assets into mainstream finance.