Genius Group Puts $10M in Bitcoin as Part of Treasury Strategy

Genius Group Limited (American NYSE: GNS) has increased its Bitcoin Treasury by $10 million, bringing its total Bitcoin holdings to 319.4 BTC, valued at $30 million. The company made the announcement on December 30, 2024, as part of its “Bitcoin-first” strategy, which commits more than 90% of its reserves to Bitcoin.

Genius Group Adds $10M to Bitcoin

Genius Group, which launched its new strategy on November 12, has achieved 25% of its $120 million Bitcoin investment target within six weeks. The latest $10 million investment brings the company's total balance to 319.4 BTC which was purchased at an average cost of $93,919 per coin despite the recent drop in Bitcoin prices.

The CEO of Genius Group, Roger Hamilton, noted that the company is happy with the performance of the expansion of its Bitcoin Treasury and it exceeds the targets set for it.

“We are exploring a number of ways to increase shareholder value while strengthening our Bitcoin Finance,” Hamilton said.

To finance the purchase of BTC, the company used its cash balance, ATM sales, and a $10 million loan from Arch Lending, a crypto-backed lending company.

BTC Yield and Treasury Performance Metric

Meanwhile, Genius Group has adopted BTC Yield as a performance metric that reflects the increase in its Bitcoin holdings relative to the company's shares. In the company's Q4 2024 financial report, the company recorded a BTC Yield of 1,649% which is an indication of an increase in the number of BTC per share. However, the company said that BTC Yield is not a GAAP measure but a tool to help investors understand their approach to Bitcoin investment.

According to the company's report, on December 29, it held $30.4 million worth of bitcoins with the BTC price at $95,060. Genius Group has a market capitalization of $40.6 million, with 63.0 million shares issued, which gives it a BTC/Price ratio of 0.75. CFO Gaurav Dama pointed out that current market capitalization does not adequately include the company's Bitcoin holdings.

“We believe that our Bitcoin performance is underestimated compared to other companies in our market.”

In addition to financial investments, Genius Group also focuses on BTC education. The company aims to start BTC Genius Academy and Blockchain Academy in January 2025, as a specialized training and certification center. At the same time, Genius Group also acquired XD Academy, which is a blockchain education platform to improve the faculty and the courses offered.

Rounded Bitcoin Rise by Major Companies

Genius Group's latest acquisition is in line with other corporate Bitcoin adoption in the market. Recently, MicroStrategy, one of the largest BTC investors, bought an additional 2,138 BTC for $209 million at an average of $97,837 per BTC. The purchase added to existing BTC holdings to reach 446,400 BTC, or approximately $42.4 billion in value.

Likewise, Tether added Bitcoin reserves after a nine-month hiatus, with 7,629 BTC worth $705.25 million. Tether now holds 82,983 Bitcoins in its reserves, which is currently worth $7.68 billion.

These developments, in turn, reinforce Bitcoin's growing appeal as a physical financial asset amid continued price volatility. Amidst these announcements, the price of Bitcoin has declined slightly, with its price dropping 1.70% to $91,917 recently. However, market analysts, including Matrixport, expect a breakout in early 2025.

Despite the recent decline, Genius Group, together with companies such as MicroStrategy and Tether, remains optimistic about the long-term value of Bitcoin and its strategic role in corporate financial planning.

Disclaimer: The content presented may include the personal opinion of the author and is subject to market conditions. Do your market research before investing in cryptocurrencies. Neither the author nor the publication is responsible for your personal financial loss.