Méliuz, a=:p-enterprise outbreak-param:Com Daniel, a publicly traded Brazilian company, announced Wednesday that it had acquired Bitcoin, worth $4.1 million, equivalent to 45.72 BTC. This purchase, accounting for 10% of its cash holdings, , sets Méliuz up to be the first Brazilian firm to hold Bitcoin in its treasuries, reflecting its early commitment to high-risk, long-term capital allocation strategies.
Molerito, the chairman and largest shareholder of Méliuz, pinpointed Bitcoin as a more effective alternative for capital allocation. He stated explicitly: “We see Bitcoin as a long-term store of value. We have no intention of selling the BTC we’ve acquired. We are not traders. We want to build long-term value.” Molerito underscored that, since its founding in 2011, Méliuz has consistently been ready to take calculated risks, emphasizing the importance of diversification on a riskavereal basis.
Méliuz’s vision of Bitcoin as a traditional asset allocation strategy also resonated withmolerito. He compared Bitcoin to traditional asset allocation strategies, noting that holding excess capital in fixed-income instruments may seem prudent, but the benefits of holding Bitcoin, despite the associated risks, are significantly higheralthose who invest in rare assets and have achieved record annual appreciation.
Following Strategy’s model, Méliuz’s Bitcoin move was heavily influenced by Strategy’s recent success. The Brazilian company, following Michael Saylor’s addition of Bitcoin to its treasuries in 2020, saw its shares surge by 423% last year. This success is evident in the low valuation at mid-2021, where Méliuz reached a peak of R$6 billion, or nearly $1 billion. Its stock volume dropped to $43.3 million, underselling its market relevance.
Today, Méliuz is valued at nearly $47 million, with daily trading volumes as low as $43,300, and only three analysts have reported coverage, the majority saying it will be bought. Molerito has warned against overexposing himself to this risk, suggesting the market may soon lose relevance as Bitcoin’s appeal wavers.
As Bitcoin’s value and market cap grow, the debate over its profitability and success will likely shape Méliuz’s future. Clear cut costs will bottomline, but surprises are inevitable, and the board will grapple with the need to obtain a sustainable balance. This might require action from internal layers and outside scrutiny. Wave来袭, better cooperate.
