Meitu Loses $17.3 M on BTC but Gained $14.7 M on Ether

by in Cryptocurrency News

Meitu Bitcoin Ethereum

Tech company Meitu reported about the results of its Bitcoin and Ethereum investments.

Related: Goldman Sachs Says Eth Can Be the N1 Digital Store of Value

As mentioned, Meitu has lost around $17.3 M, having invested in BTC. On the other, Ether investment has brought the company a profit of $14.7 M.

Launched in 2008, Meitu builds mobile video and photography apps. Between March and April 2021, the company has invested overall $100 M in Bitcoin and Ether, buying 940.89 BTC for $49.5 M and 31.000 Ether for $50.5 M.

As stated in the report, the estimation is based on the market rates as of June 30. That is the date reflecting the 6-month result of the purchase.

On June 30, Meitu's total BTC and ETH investment was $97.4 M, meaning that the company has lost $2.6 M from the $100 M investment.

From the mentioned $97.4 M sum, $32.2 M is Bitcoin's fraction and $65.2 million of Ether. Meitu views cryptocurrencies as “intangible assets under the cost model” in the interim outcomes. It was noted in the announcement that the company's board believes in blockchain technology and that cryptocurrencies may rise in value over the long term. Presently, Meitu has no plans to sell its crypto holdings in the near future.

After June 30, Meitu provided another update which shows a total of $5.2-M benefit on its initial investment, with ETH representing $72.4 M and BTC up to $32.8 M.