Chinese Card Game Operator Invests $5 Million in Bitcoin and Ethereum
Date: 2023-08-11 Author: Karina Ziganova Categories: CRYPTO PAYMENTS, IN WORLD
Boyaa Interactive, a Chinese developer and operator of card and chess games, has announced plans to expand its presence in the digital asset market. In particular, the firm intends to invest $5 million in Bitcoin and Ethereum.
The corresponding decision was approved by the board of directors. The company intends to invest funds gradually over the course of the year. The source of investment is the operating income from the operator's activities in Hong Kong.
The address to shareholders specifically highlights the fact that the firm will purchase cryptocurrencies on regulated platforms. However, in which jurisdiction, it is not specified.
But the report says that the counterparty will comply with the rules of the regulator in Hong Kong when disclosing information and possible trading. This suggests that Boyaa Interactive plans to buy digital assets here.
Since January 2023, the firm's shares have been on the rise. The rate rose from $0.054 to $0.076 at the end of July, according to CompaniesMarketCap.
However, at the beginning of 2018, the quotes were at the level of $0.4, after which they collapsed to $0.15 over the next 12 months. The reason for this drawdown is the decision of the Chinese authorities to ban poker applications, according to Reuters.
In this regard, the company's profit fell from $65.9 million (2018) to $46.5 million (2019), according to CompaniesMarketCap:
At the end of May 2023, the Hong Kong Securities and Futures Commission (SFC) announced that retail investors can trade cryptocurrencies.
Later, in early June, the regulator also introduced a licensing regime for virtual asset service providers. In anticipation of this, several large crypto exchanges entered the local market at once.
In August, the SFC announced that it intends to take "strong measures" in relation to counterparties that have not been registered.
