Hong Kong Investment Firm Increases Bitcoin Holdings After Initial Purchase Doubled Stock Value
Hong Kong-based investment firm HK Asia Holdings Limited has expanded its cryptocurrency portfolio to approximately 8.88 Bitcoin, according to a February 23 announcement. The company disclosed that its board approved further investment in Bitcoin following positive market response to its initial purchase, according to a report from Cointelegraph.
On February 20, HK Asia acquired approximately 7.88 Bitcoin at a cost of $761,705, using internal resources to finance the transaction. This latest acquisition comes just a week after the firm's initial purchase of 1 Bitcoin, which triggered a nearly 93% increase in its share price when markets reopened on February 17.
The investment firm now holds 8.88 Bitcoin in total, acquired at an average cost of $97,021 per coin, representing a total investment of approximately $861,500. HK Asia's share price rose about 5.7% on February 24 during the Hong Kong Stock Exchange trading session, reaching around 6.66 Hong Kong dollars (86 cents).
If current price levels hold, HK Asia's stock could close above its June 2019 all-time high of 6.50 Hong Kong dollars (84 cents). The company's shares have already gained 1,700% in value so far this year, reflecting strong investor interest in the firm's cryptocurrency strategy.
The company's Bitcoin investments follow a growing trend among publicly traded companies purchasing cryptocurrency to boost earnings. In its earlier announcement, HK Asia noted the "increasing popularity of cryptocurrencies in the commercial world" as a factor in its decision to invest in Bitcoin.
While these purchases fall below the threshold requiring mandatory disclosure, HK Asia chose to announce them "on a voluntary basis." Meanwhile, Bitcoin has traded relatively flat over the past 24 hours, currently priced at $95,537, remaining below the $100,000 level since February 5 and down 12% from its January 20 peak of $108,786.
In contrast to HK Asia's expansion of Bitcoin holdings, El Salvador has paused its daily Bitcoin purchasing strategy, with the last transaction recorded on February 17, according to Arkham Intelligence data. This pause coincides with El Salvador's recent $1.4 billion loan agreement with the International Monetary Fund.
Despite the halt in daily purchases, the Central American nation maintains over 6,000 BTC worth approximately $586 million and has made several large one-time acquisitions since finalizing the IMF agreement, including an $11 BTC purchase on February 4 valued at over $1 million. As part of the IMF agreement, which extends over 40 months, El Salvador's legislature approved changes to its Bitcoin law in January 2025, making Bitcoin acceptance optional for private businesses.
