LOS ANGELES – Thumzip Media Corporation (NASDAQ: TZUP), a company specializing in social media marketing and programmatic sales, has acquired 9.783 (BTC) for approximately 1 million dollars. The purchase price per Bitcoin is estimated at $102,220.
The company also announced its intention to convert up to 90% of its liquid assets to Bitcoin, pending approval from the Board of Directors. The move is part of Thumzip's Treasury Asset Strategy, which was first announced on November 15, 2024.
Coinbase's (NASDAQ:) Prime platform, operated by the $66.91 billion market chain exchange, is currently responsible for the storage services of Thumzip's Bitcoin holds. According to InvestingPro data, Coinbase has shown strong performance with 90.33% revenue growth over the past twelve months. In addition, Thumzup is preparing to pay gig-economy workers using Bitcoin in the coming weeks, to ensure compliance with applicable laws and regulations.
Thumzip's engagement with cryptocurrency is consistent with its new approach to the social media marketing business. Its platform connects sellers and social media users, who can earn money selling products in supermarkets. Payments to these users are made through digital platforms such as PayPal (NASDAQ:).
This strategic pivot towards cryptocurrency by Thumzip shows a significant commitment to integrating digital assets into its financial operations. Information about Thumzip's Bitcoin purchase and its future acquisition is based on a press release from the company. For in-depth information on Coinbase's financial health and market status, including 12 additional ProTips and comprehensive benchmarking metrics, visit InvestingPro.
In other recent news, Coinbase, a leading cryptocurrency exchange platform, is under scrutiny with its upcoming earnings release expected to shed light on the company's financial health and strategic direction. The company's ability to adapt to regulatory changes and competitive pressures is of interest to investors and analysts. The stock rating platform is always Market Perform, according to Raymond (NS:) James, while Mizuho (NYSE:) Securities maintains an Underweight rating, although the target price has increased. US Tiger Securities has downgraded the stock from Buy to Hold, citing a change in the risk-reward profile after the latest Bitcoin operation.
Coinbase's performance is also linked to changes in the broader crypto market. Notably, companies with significant exposure to cryptocurrency, including Microstrategy (NASDAQ:), experienced a decline in response to the Federal Reserve's interest rate warning and Bitcoin's withdrawal from record highs. This change led to a record outflow of 680 million dollars from the US exchange-traded funds directly from Bitcoin.
In addition, Coinbase, along with AppLovin (NASDAQ:) and Trading Desk (NASDAQ:), experienced a dip in shares after their departure from the S&P 500 Index rebalance. These latest developments highlight the dynamic nature of the cryptocurrency market and the importance of strategic alignment for companies like Coinbase.
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