Listed German Cannabis Firm to Buy Bitcoin, Slates Euro and USD
Companies outside the United States look set to follow Tesla and others into bitcoin (BTC) buying, after the German listed cannabis company SynBiotic announced that it has “started to shift some of its free liquidity into bitcoin.”
Although the German company did not disclose the size of its investment, it was quick to claim, in an official release yesterday, that it was the “first [publicly] listed company in Germany” to take the plunge.
Perhaps just as significant as the investment news was the reasoning provided – a damning assessment of recent monetary policy in Europe and elsewhere, with governments keen to spend their ways out of the coronavirus pandemic-induced economic slowdown.
The company, which trades on the Deutsche Börse Group’s Xetra exchange, wrote,
“Given the excessive increase in money supply in both the euro and USD zones, there is legitimate concern about a massive devaluation of fiat money.”
It added that its move was designed to “hedge against the devaluation of the euro with bitcoin.”
The company, which claims to have subsidiaries that accept bitcoin, added that it had “more long-term confidence in bitcoin than in euros or dollars, where a central institution, influenced by politicians, can expand the money supply immeasurably,” noting BTC’s volume limit of 21 million tokens.
SynBiotic’s share price in the past week:
Cryptonews.com has contacted the company for comment.
On Reddit, a user wrote that the move was “great news” for the crypto community, while another opined that Tesla boss Elon Musk had “really started a f***ing rocket for everyone” with his company’s own recent decision to buy USD 1.5bn worth of BTC.
And on Twitter, most crypto advocates welcomed the news, with one opining that “the corporate bitcoin boom” had now “reached Germany.”
Earlier this week, a PwC executive claimed that Mexican companies were also eyeing up bitcoin buying moves, with some already “interested” in acquiring tokens as part of their corporate strategies.
At the time of writing (09:17 UTC), BTC trades at USD 51,199 and is up by 4.4% in a day and 10% in a week.
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