Nexon, a Japanese gaming giant, has purchased $100 million worth of Bitcoin at an average price of $58,226.
According to an announcement published on Wednesday, the firm bought a total of 1,717 Bitcoins. The $100 million investment in the leading cryptocurrency represents less than 2% of Nexon’s total cash and cash equivalents on hand.
Nexon endorsed the growing narrative that Bitcoin is a viable hedge against inflation. The company asserted that the move to buy Bitcoin was to safeguard shareholder value and ledge against inflation. President and CEO of the company, Owen Mahoney, said:
Our purchase of bitcoin reflects a disciplined strategy for protecting shareholder value and for maintaining the purchasing power of our cash assets. In the current economic environment, we believe bitcoin offers long-term stability and liquidity while maintaining the value of our cash for future investments.
Mahoney went further to explain that Bitcoin could likely retain its value.
The mass exodus of institutional investors into crypto offerings has effectively endorsed Bitcoin and altcoins. Despite the regulatory uncertainties ahead, market sentiments are generally bullish.