Posted on Feb 18, 2019 2021 at 6:34
Following Tesla’s example, some companies are saying they are ready to invest some of their cash in bitcoin. Because the queen of cryptocurrencies continues to rise. It reached $ 51,000 (42,300 euros) on Wednesday. But such an investment would also generate volatility in their results. Globally, 5% of companies surveyed in February plan to buy bitcoin, according to a Gartner survey of 77 companies. 9% are also considering this investment but not before 2024.
Companies are waiting in particular for clarifications from regulators. 7 out of 10 would like to know what other companies are considering in the crypto space. Clearly, some will join the movement if their competitors decide to diversify their cash flow towards bitcoin. Sheep enthusiasm cannot be ruled out this year.
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This interest in crypto is particularly marked in the technology sector, and weaker in finance. It concerns businesses of all sizes, and the smallest are not the most cautious. The first concern of the CFOs interviewed is the high volatility of bitcoin and its financial risks. Their board of directors is not always in favor. Other brakes to investment in bitcoin: lack of knowledge, regulation, cyber risks (bitcoin theft), accounting treatment of this asset … Announcing your interest in bitcoin even without investing in it is currently well perceived by the markets given the surge in cryptos. Bitcoin and blockchain are vectors of communication that generate stock market wealth.
2.500 billion dollars in “cash”
According to S&P Global Ratings, US companies (excluding the financial sector and local government services) have liquidity and cash of $ 2.5 trillion, part of which could be invested and diversified into bitcoin. According to ARK Invest, the price of bitcoin would jump from $ 40,000 to over $ 90,000 if the companies in the S & P500 index placed just 1% of their cash in bitcoin.
The American company MicroStrategy (software publishing) which holds $ 3.5 billion of bitcoins will issue convertible bonds for $ 900 million. This money could allow him to acquire even more. It is already recording a capital gain of nearly $ 2.3 billion on its bitcoin portfolio.
In Europe, SynBiotic SE, in the cannabis sector, is the first German listed group to announce that it wants to buy bitcoins. This investment should allow the company to “protect against the risks of devaluation of the euro and the dollar “. Currently, however, it is the excessive strength of the European currency that concerns businesses in the Old Continent.
Companies that accept bitcoin as a means of payment for their goods and services use companies that manage the currency risk of crypto for them. This remains important given its high volatility.