Meliuz Allocates 10% of Reserves to Bitcoin for Long-Term Growth

It is joining a growing number of traditional finance companies incorporating Bitcoin into their portfolios.

On March 6, technology company Meliuz announced that it had started buying bitcoin.

It is joining a growing number of traditional finance companies, especially in the U.S., that are putting bitcoin on their balance sheets.

Earlier this year, Cathie Wood’s Ark Invest argued that companies should allocate 50% of their cash to bitcoin for optimal returns.

Meliuz, known for its cashback and financial technology services, will allocate up to 10% of its cash reserves to bitcoin for long-term growth.

The company has already made its first move by purchasing 45.72 BTC at an average price of $90,296. This signals Meliuz’s confidence in bitcoin’s potential to drive substantial returns.

“We believe the treasury strategy focused on BTC has huge potential for maximizing value,” Meliuz stated.

This news comes just days after Meliuz disclosed changes to its board of directors. On March 3, the company welcomed Guilherme Bandeira, a well-known bitcoin advocate, to the board.

At the time, Bandeira highlighted that bitcoin could be “an even better alternative to the Brazilian real.” He also discussed the increasing importance of BTC as a hedge against traditional currencies, especially in the current macroeconomic climate.

Its first purchase of bitcoin comes after the company announced a change to its board of directors. On March 3, it was disclosed that Guilherme Bandeira, a recognized figure in the bitcoin community, has joined the board of the technology company.

During his interview with Valor Economico, Bandeira expressed his optimistic outlook on bitcoin and highlighted its potential as a treasury asset for companies.

“I’ve been saying for a long time that the Brazilian real needs an excellent competitor, and bitcoin is an even better alternative,” stated Bandeira, who is the founder of hedge fund Baluarte.

He further explained that institutions are becoming increasingly interested in treasury assets to navigate the rapidly changing macroeconomic landscape. In this context, bitcoin is presenting itself as a compelling addition to the investment universe of large companies.