- Rumble plans to invest up to $20M in Bitcoin, aiming to expand its presence in the cryptocurrency market.
- CEO Chris Pavlovski cites Bitcoin’s inflation-hedging qualities and growing institutional adoption as key drivers.
- Rumble’s Bitcoin strategy remains flexible, with purchases contingent on market conditions and company needs.
Rumble Inc., a Florida-based video-sharing and cloud services company, revealed that its board of directors has endorsed a new plan of action that will involve using up to $20 million of the excess cash reserves to purchase Bitcoins. The platform announced that it has made the decision to increase its market presence in the cryptocurrency space. Rumble’s plan is to buy bitcoins at the firm’s own discretion and can possibly spend as much as $20 million to do so.
Chris Pavlovski, Rumble’s CEO and chairman, said that the decision was driven by the fact that more people are starting to use Bitcoin, especially institutional investors, as well as the current political climate in the U.S. He pointed out that Bitcoin is unlike the government-issued money, which is easily diluted by the process of quantitative easing. According to Pavlovski, Bitcoin is ideal for long term stability especially as a store of value and a hedge against inflation.
Rumble’s Flexible Bitcoin Strategy
However, Rumble did not reveal the exact time for the Bitcoin purchases as the cryptocurrency keeps on failing to surge past the $100,000 mark. The company also pointed out that the strategy is not set in stone and that the plan may be tweaked, delayed or abandoned all together depending on the state of the market and the needs of the company.
Rumble has chosen to invest in Bitcoin after a number of publicly traded companies have realised the potential of crypto investments to boost their profits. For instance, Genius Group Limited, an artificial intelligence company, announced its decision to committed $4 million to Bitcoin in its ‘Bitcoin-first’ strategy. Similarly, MicroStrategy and Acurx have also ramped up their Bitcoin buys in a bid to benefit from the digital currency as a potential inflationary asset.
On the same note, Anixa Biosciences Inc, a biotechnology firm that deals with cancer solutions, revealed on 22nd November it will use part of its corporate cash to buy Bitcoin due to the cryptocurrency’s promise to act as a hedge against volatility. This is set to make Rumble the newest entrant among a list of companies that are reorganizing their financial strategies in line with the future value proposition of the digital currency.
