Genius Group Plans 50% Dividend 50% Bitcoin Purchase from Lawsuit Winnings

Genius Group, an AI-driven education company listed on the NYSE American, has announced a strategic plan to allocate potential winnings from two lawsuits equally between shareholder dividends and Bitcoin purchases. The company is seeking damages exceeding $1 billion through these legal actions. The first lawsuit, filed in the United States District Court, Southern District of Florida, targets individuals associated with LZGI International, claiming damages above $750 million due to alleged fraud. The second lawsuit, pending, addresses pure naked short selling and spoofing, with estimated damages between $251.3 million and $262.7 million for 2023, potentially increasing in subsequent years.

CEO Roger Hamilton emphasized that the lawsuits aim to recover losses that directly impact shareholders. He stated that any gains from these cases would be immediately available to investors, either as dividends or contributions to the company's Bitcoin treasury. However, the company cautioned that there are no guarantees of success or the timing of any recoveries.

In the event of a successful outcome, Genius Group plans to distribute 50% of the net proceeds as a special dividend to shareholders, valued at approximately $7 per share. The remaining 50% will be used to acquire Bitcoin, with a target of 5,000 BTC at the current market value of around $107,000 each. This move would significantly bolster the company's existing Bitcoin holdings, which increased by 52% to 100 BTC as of May 6, 2025, following a decision by the United States Court of Appeals that lifted a previous ban on crypto purchases.

Genius Group's recent Bitcoin purchases, totaling $10.06 million at an average rate of $100,600 per BTC, demonstrate its commitment to a Bitcoin-first approach. The company aims to accumulate 1,000 BTC for its corporate treasury by November 2024. An additional 5,000 BTC would position Genius Group as a major corporate Bitcoin holder, alongside other companies that have made significant investments in the cryptocurrency.

This strategic move comes at a time when more institutions are showing interest in Bitcoin as a treasury asset. Companies like Strategy have already established precedents by holding significant amounts of Bitcoin, with Strategy owning more than 2% of all Bitcoin in circulation. Genius Group's plan to invest litigation proceeds in cryptocurrencies represents a new trend among NYSE-listed companies.

The company's legal and financial strategy aligns with its broader interest in AI, Bitcoin, and community-based education. Recent acquisitions, such as Entrepreneur Resorts Ltd., and initiatives like the Bitcoin Academy, which trains users about digital assets, reflect Genius Group's innovative approach. The company expects to raise its revenues by 50% in 2025, further solidifying its position in the market.

While there are no guarantees of winning the lawsuits, the board's authorization of this distribution plan signals confidence in achieving a mix of shareholder value creation through both cash dividends and strategic investments in Bitcoin. The company remains subject to risks associated with legal proceedings and market fluctuations, but its forward-thinking approach positions it well for future growth and success in the digital economy.