coincodex.com
Key highlights:
- Nexon has invested $100 million into Bitcoin
- The company bought 1,717 BTC for about $58,226 each
- Nexon made the largest crypto investment among companies listed on the Tokyo Stock Exchange
Nexon buys $100 million worth of Bitcoin
Japan-based video game publisher Nexon has invested $100 million into Bitcoin. The company purchased 1,717 BTC, paying an average of $58,226 per coin. According to the company, the investment represented around 2% of its cash and cash equivalents.
Nexon publishes games for both PC and mobile, and is known for titles like MapleStory, V4, Mabinogi and Darkness Rises.
According to Nexon, it has made the largest Bitcoin investment so far out of all the companies listed on the Tokyo Stock Exchange. Nexon is part of the Nikkei 225, the flagship index of the Japanese stock market.
While this seemed unthinkable just a few years ago, many publicly-traded companies are now comfortable with making significant investments in Bitcoin. One of the reasons for this is that the aggressive central bank policies designed to fight the pandemic-induced slowdown in the economy have caused fears about currency debasement. Bitcoin, on the other hand, is starting to be perceived as a digital version of gold thanks to its 21 million BTC limit and predictable supply dynamics.
Companies that have purchased a significant amount of Bitcoin include MicroStrategy, Tesla, Square and Aker ASA. There has also been some momentum on this front in Asia, where Nexon has its strongest presence. For example, Hong Kong-listed mobile app developer Meitu purchased $40 million worth of Bitcoin in Ethereum and March.
Nexon CEO Owen Mahoney commented on the company’s reasoning behind the Bitcoin investment:
"Our purchase of bitcoin reflects a disciplined strategy for protecting shareholder value and for maintaining the purchasing power of our cash assets. In the current economic environment, we believe bitcoin offers long-term stability and liquidity while maintaining the value of our cash for future investments."
Nexon has been previously linked to cryptocurrency, as there were reports earlier this year that the company was looking to acquire South Korea-based cryptocurrency exchange Bithumb. The company later denied the reports and said that it was not planning to acquire or invest in Bithumb.