Rumble (NASDAQ: RUM), a video-sharing platform and provider of cloud services, has revealed its acquisition of approximately 188 Bitcoin, valued at roughly $17.1 million, aligning with its previously announced Bitcoin treasury strategy. Purchased at an average rate of about $91,000 per coin, this acquisition is part of the company’s initiative to invest up to $20 million in Bitcoin.
“We are thrilled to disclose these purchases and the allocation of Bitcoin as a part of our treasury strategy and a broader strategic move as we enhance our connections with the crypto sector,” stated Rumble Chairman and CEO Chris Pavlovski. “These assets have the potential to be an effective hedge against inflation and are immune to dilution unlike numerous overprinted government currencies. As a premier video and cloud services provider for the crypto community, we are honored to actively hold Bitcoin as we continue our growth and integrate crypto within our company’s foundation.”
This announcement follows Rumble’s previously revealed corporate treasury diversification initiative, which received approval from its Board of Directors. The strategy is designed to utilize Bitcoin as a strategic asset to boost the company’s expansion into digital assets while fortifying its financial standing.
“We believe we are still in the nascent phase of Bitcoin adoption, which has recently gained momentum with the election of a U.S. presidential administration supportive of crypto and a rise in institutional investment,” Pavlovski remarked. “Unlike any fiat currency, Bitcoin is not subject to dilution from continuous money printing, making it a significant inflation hedge and a superior addition to our treasury. We are also eager to deepen our engagement with the crypto sector and enhance our position as the leading video and cloud service platform for the crypto community.”
The company emphasized that the timing and valuation of any future Bitcoin purchases will be reliant on various elements, including market conditions, Bitcoin’s trading price, and Rumble’s projected cash requirements. Rumble indicated that their strategy will remain adaptable and may be adjusted, paused, or halted at any point based on the company’s judgment.
