Rumble Bitcoin Investment: A $20M Move into Crypto

Following Microstrategy’s plan of hoarding Bitcoin many companies from different sectors are following suit by investing heavily into Bitcoin as a safe investment option. 

Recently, Rumble, a popular video-sharing and cloud services platform, is making a bold move by investing up to $20 million in Bitcoin. The company’s Board of Directors approved the plan as part of its strategy to diversify its cash reserves. This decision shows Rumble’s confidence in Bitcoin as a safeguard against inflation and a smart financial asset.

Why Bitcoin?

CEO Chris Pavlovski explained that Bitcoin stands out because it isn’t affected by inflation in the same way as traditional currencies. Unlike government-issued money, Bitcoin can’t be diluted through endless printing, making it a solid hedge against rising prices. He also pointed out that the adoption of Bitcoin is growing, fueled by crypto-friendly regulations and increasing interest from big institutions.

“We believe the world is still in the early days of Bitcoin adoption,” Pavlovski said, adding that this is the right time for Rumble to embrace the crypto space.

A Careful Approach to Buying Bitcoin

Rumble’s plan is not just to buy Bitcoin randomly. The company will watch the market closely, considering Bitcoin’s price, general market trends, and its own financial needs before making any purchases. This thoughtful approach helps manage the ups and downs of the cryptocurrency market while focusing on long-term benefits.

The management team will decide when and how much Bitcoin to buy based on these factors. The goal is to stay flexible while keeping the company’s finances secure.

A Growing Trend in Corporate Crypto

Rumble is not alone in betting on Bitcoin. Many companies are adding it to their financial strategies. MicroStrategy, a software giant, holds over 386,000 Bitcoin worth $5.4 billion, and Tesla has also invested heavily in the cryptocurrency. Even smaller firms like Semler Scientific have joined the trend, holding over 1,500 Bitcoin as part of their financial reserves.

At press time, BTC is trading near $95,135 and has experienced a price decline of 1.05% in the past 24 hours. During the same period, its trading volume jumped by 38%, indicating heightened participation from traders and investors amid price breakdown. With many new companies investing heavily in Bitcoin, it is yet to be analyzed if they stick with Bitcoin for the long run as short-term profit-taking may cause a massive market crash. What do you think?