BTCS to Pay Shareholders Dividends in Ethereum for the First Time

Date: 2025-08-19 Author: Henry Casey Categories: BUSINESS
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BTCS has announced a new initiative — shareholders will receive a one-time dividend of $0.05 per share, which will be paid in Ethereum. This program is called Bividend. In addition, the company has provided another reward: holders who transfer their shares to the digital registry system (book entry) and keep them there for at least 120 days will be able to count on a payment of $0.35 per share. At the same time, BTCS management and employees are excluded from this program.

According to company representatives, the transition to digital accounting of shares allows avoiding the use of paper certificates and ensures more transparent asset management. In addition, shareholders receive protection from leasing their shares to short sellers, which reduces the risk of market manipulation.

BTCS CEO Charles Allen noted that the company became the first public company in the world to offer dividends in Ethereum. He emphasized that the goal of the initiative is to support long-term investors and create additional incentives for them. Allen also said that traders with short positions are actively playing against BTCS, waiting for new shares to enter the market. According to him, the company's strategy is aimed at increasing earnings per share and protecting the interests of shareholders.

It is worth recalling that in 2022, BTCS already experimented with cryptocurrency dividends when it distributed payments in bitcoins. Moreover, the bividend.com domain was acquired by the company back in 2015, which indicates long-standing plans in this direction.

Interestingly, BTCS has recently been looking for ways to expand its capital. The company announced its intention to raise up to $2 billion to replenish reserves, which, according to experts, was the reason for the emergence of short positions against it. Typically, companies with a similar business model resort to issuing shares and bonds for this purpose.

The market reacted positively to the news: at the opening of trading on August 18, BTCS shares on the Nasdaq exchange rose by about 3%. This indicates that investors perceived the company's decision as a confident step towards strengthening its position in the crypto market.

Thus, BTCS continues to experiment with digital assets and strengthens its status as a pioneer among public companies that use cryptocurrency to interact with shareholders. The new dividend format may set a trend for other companies interested in innovative ways to stimulate their investors.
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