- Gumi has announced the decision to buy 1 billion yen worth of Bitcoin.
- The firm aims to strengthen its financial field in blockchain and other businesses.
- Gumi’s shares surged 3.6% uptick shortly after the announcement.
Gumi, a publicly traded Japanese game studio, has decided to buy 1 billion yen worth of Bitcoin, that’s equivalent to $6.6 million.
In a press release, the Japanese gaming giant spelled out its reasons for jumping into the purchase of a sizable chunk of cryptocurrency.
Gumi: Bitcoin for Blockchain Expansion “Babylon” Staking
According to Gumi, buying crypto in such a significant volume will allow the company to promote initiatives to strengthen its financial field in blockchain and other business areas. The firm also mentioned it’s growing its portfolio in the node management business.
Notably, Gumi will be the first Japan-based, publicly listed company to join in as a validator for the “Babylon” staking protocol in the second quarter of the fiscal year ending April 2025.
Related: MetaPlanet Launches Bitcoin Treasury Operations, Issues New Bonds to Fuel BTC Purchases
Staking Surplus BTC for Blockchain Security
In the meantime, Gumi’s current status allows it to repurpose its surplus Bitcoins, using them as security collateral for other blockchains.
Under these circumstances, the gaming giant is investing surplus funds in Bitcoin by staking it on Babylon.
The latest development triggered a surge in Gumi’s shares, which saw a 3.6% uptick shortly after the announcement, as the gaming giant plans to capitalize on Bitcoin’s potential growth. Gumi will stake more funds through the Babylon protocol while regularly assessing its crypto holdings to record gains or losses in its financial statements.
Asian Firms Warming Up to Crypto: Gumi Joins the Trend
Gumi’s notable exposure to Bitcoin signals a growing trend of Asian companies embracing crypto. Last December, Japanese investment firm Metaplanet, added Bitcoin Treasury Operations as an official business line within its structure. With that move, the company established Bitcoin as a core part of its operations.
Related: Metaplanet’s Stock is Up 3,600% Thanks to Bitcoin
Less than two months after Metaplanet’s internal structural adjustment, the company’s stock skyrocketed 3,600%. Reports say Metaplanet has decided to acquire 21,000 BTC by 2026, aiming to pump up its digital asset holdings. The investment company currently owns 1,762 BTC, valued at about $172.3 million.
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