Méliuz invests $4.1M in Bitcoin for treasury strategy

Brazilian fintech unicorn Méliuz has embarked on a new treasury strategy by investing in Bitcoin (CRYPTO:BTC), joining a growing trend of traditional finance companies incorporating cryptocurrencies into their portfolios.

On March 6, Méliuz announced that its board of directors had approved a plan to allocate up to 10% of its cash reserves into Bitcoin, with the goal of achieving long-term returns.

As part of this initiative, Méliuz has already purchased 45.72 Bitcoin for approximately $4.1 million at an average price of $90,296 per BTC.

The company has established a Bitcoin Strategic Committee to oversee its Bitcoin investments and explore opportunities to expand this strategy, potentially making Bitcoin a primary treasury asset.

Méliuz's move reflects a broader shift in the financial sector towards exploring alternative assets like Bitcoin, following companies such as Strategy and Metaplanet.

The adoption of this strategy comes after Méliuz announced changes to its board of directors, including the addition of Guilherme Bandeira, a prominent Bitcoin advocate, who expressed enthusiasm about leveraging Bitcoin's potential.

"Together with the entire company team, led by founder and chairman Israel Salmen, we will ensure that Méliuz takes full advantage of the pioneering role of adopting the best monetary technology that has ever existed in the history of humanity," Bandeira noted.

He also highlighted Bitcoin's potential as an alternative to traditional currencies.

"If Bitcoin is an excellent alternative to the US dollar, it is an even better alternative to the Brazilian real," he stated.

While Méliuz acknowledges the potential benefits of Bitcoin investments, it also recognises the associated risks, such as volatility and regulatory challenges, which will be monitored by the Bitcoin Strategic Committee.

This development follows Brazil's significant involvement in the crypto market, with the country being a major hub for stablecoin transactions.

Méliuz's decision to invest in Bitcoin underscores the increasing acceptance of cryptocurrencies in traditional finance and highlights the potential for Bitcoin to play a central role in treasury strategies moving forward.

The company's shares surged over 25% following the announcement, reflecting investor optimism about this new strategy.

As Méliuz continues to explore the potential of Bitcoin, it will be crucial to balance investment opportunities with risk management to ensure the success of its treasury strategy.

At the time of reporting, the Bitcoin (BTC) price was $87,464.79.