Meitu, a Hong Kong tech company, made headlines last April when it reported crypto holdings worth nearly $100 million. The tech business has actually seen its crypto holdings lose almost half their value given that the bearishness.
Meitu reported that it had crypto holdings of roughly 940 Bitcoin (BTC), and 31,000 Ethers (ETH) in a July exchange filing. According to Meitu, the net crypto financial investments of the business were reported at around $100 million.
Regional media reported that Meitu suffered a disability loss of more than 300 million Yuan (approximately $43.4 million) in their crypto holdings. A loss in the worth of a property is when it falls below its carrying value.
According to the monetary filing, the problems loss more than doubled since the previous quarter. This was something that the company had actually anticipated earlier. According to the tech giant, crypto holdings might have an effect on the net loss of company by the second half of 2018.
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Meitu isnt the only company that has suffered considerable losses from its crypto financial investments. Microstrategy was the flag bearer for public business that buy Bitcoin. They reported a disability loss going beyond $900 million in their BTC holdings during the 2nd quarter 2022.
The Microstaretgy of Michael Saylor popularized the concept of using Bitcoin as a treasury reserves to replace a portion the U.S. Dollar at the height of the crypto bull market. This concept was popularized by the likes Tesla, SpaceX, and over a lots other public business. The bearishness lowered Bitcoins value and it is currently trading at one third of its peak.
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According to the tech giant, crypto holdings could have an effect on the net loss of company by the second half of 2018.
According to Meitu, the net crypto investments of the business were reported at around $100 million. Meitu isnt the only company that has actually suffered considerable losses from its crypto financial investments.