Genius Group, a Singapore-based AI firm, has designated Bitcoin as its primary treasury asset, planning an initial purchase of $120 million.
Artificial intelligence company Genius Group has announced its adoption of Bitcoin as its primary treasury asset, committing 90% of its current and future reserves. The Singapore-based firm plans an initial Bitcoin purchase of $120 million, amounting to roughly 1,380 BTC at the current price, for long-term holding. Genius Group also intends to enable Bitcoin payments for its educational technology platform as part of its broader integration of digital asset strategies.
AI company Genius Group adopts #Bitcoin as its primary treasury asset with plans to purchase $120M in BTC.
— TFTC (@TFTC21) November 12, 2024
"We see Bitcoin as being the primary store of value that will power these exponential technologies." pic.twitter.com/gEo5O68Duo
The announcement led to a significant surge in Genius Group's stock price, which rose as much as 79% on Tuesday, briefly reaching a high of $1.41 before stabilizing at $1.13. As noted in a statement from Thomas Power, Genius Group’s director, the company views Bitcoin as a foundational “store of value” for fueling exponential technological advances, echoing sentiments voiced by MicroStrategy’s Michael Saylor, a major advocate for Bitcoin as a treasury reserve. MicroStrategy, the leading corporate holder of Bitcoin, has accumulated 279,420 BTC as part of a similar strategy it implemented in 2020, holding it as a hedge against inflation.
The timing of Genius Group’s move aligns with a surge in Bitcoin’s price, driven by positive market sentiment following former President Donald Trump’s re-election. Bitcoin reached an all-time high of $89,864 this week, with analysts anticipating that it may surpass the $100,000 mark before the end of the year. Genius Group joins other corporations, such as Metaplanet and Semler Scientific, in adopting Bitcoin as a reserve asset amid this rally.
This trend of corporate Bitcoin adoption could soon extend to government holdings as well. At the Bitcoin 2024 conference in July, Trump announced a potential plan to amass a Bitcoin reserve for the U.S. Treasury, with further support from Senator Cynthia Lummis, who introduced a bill calling for the government to hold 1 million BTC for at least two decades.
Genius Group’s adoption of Bitcoin as a primary reserve asset signals an ongoing shift among companies seeking alternatives to traditional financial assets, potentially influencing other organizations and governments to consider Bitcoin for treasury holdings.
