China-based Jiuzi Holdings has announced a significant $1 billion cryptocurrency treasury plan focused on Bitcoin 
$75,013, Ethereum 
$2,301, and BNB. This strategic move, approved by the company’s board, aims to diversify long-term reserves with a formalized interest in cryptocurrencies. Following the announcement, Jiuzi Holdings’ stock experienced a sharp rise in the U.S. markets.
Jiuzi Holdings’ Crypto Investment Strategy
Jiuzi Holdings, known for its activities in the new energy vehicles sector, has introduced its Crypto Investment Policy via a press release. Under this policy, the company will be able to purchase up to $1 billion in BTC, ETH, and BNB. It emphasized that these acquisitions would not be for speculative purposes and will be safeguarded by reliable custodians. Furthermore, all significant acquisitions will be communicated through SEC filings.
The implementation of this policy comes with changes in Jiuzi Holdings’ management structure. Cryptocurrency expert Dr. Doug Buerger has been appointed as the Chief Operating Officer. Under the leadership of CFO Huijie Gao, the newly created Cryptocurrency Risk Committee will oversee the management of investments. CEO Tao Li expressed that the decision aims to enhance shareholder value in the long term.
Market Reaction Has Been Positive
Following the announcement of its cryptocurrency policy, Jiuzi Holdings saw its stock surge by up to 55% in U.S. pre-market trading. According to Yahoo Finance, a significant portion of these gains was later relinquished at the opening of the regular session, with shares falling by approximately 32%. The fluctuations in stock price indicate strong investor interest in the news.
This announcement follows the company’s May disclosure of a plan to purchase 1,000 BTC. By introducing the new policy, the company has expanded its goals, aligning its treasury management with a more institutional framework. As a result, Jiuzi Holdings joins the global trend of cryptocurrencies making their way into corporate balance sheets. This trend is further supported by similar strategies from companies like Strategy, CEA Industries, and BitMine.
