In an ambitious pivot that underscores the growing influence of cryptocurrencies in corporate finance, Genius Group Limited has unveiled a novel “Bitcoin-first” strategy, designating Bitcoin as its principal treasury reserve asset. This decision comes on the heels of a significant restructuring of the company’s Board of Directors, integrating specialists with expertise in blockchain technology and Web3 innovations. As outlined in a recent press release dated November 12, the leading firm in AI-driven education and business acceleration has resolved to allocate a staggering 90% of its current and future reserves to Bitcoin. This strategic maneuver reflects not only a progressive financial outlook but also a response to market trends increasingly favoring digital assets.
With a robust investment strategy fueled by a $150 million Automated Teller Machine (ATM), Genius Group plans to make an initial substantial investment of $120 million in Bitcoin. At current market valuations, this translates to roughly 1,380 BTC, marking a significant commitment to the cryptocurrency. The company’s leadership emphasizes that this initiative positions Genius Group as a pioneering entity among NYSE American-listed firms, echoing the Bitcoin acquisition strategies exemplified by MicroStrategy. “By implementing our Bitcoin-first strategy, we aim to unlock substantial shareholder value and catalyze our growth trajectory,” asserts the release, revealing a firm belief in Bitcoin’s potential as a durable asset.
Genius Group’s decision to embrace Bitcoin is not merely a financial tactic; it also arises from the backdrop of a tumultuous period characterized by a drastic decline in share prices. With stock values plunging to below $0.60 amidst accusations of market manipulation, CEO Roger Hamilton has publicly discussed the ongoing legal battles against the alleged perpetrators. The stakes are high, indicated by potential damages that could surpass $250 million, simultaneously reinforcing the company’s urgency to stabilize and enhance its market perception.
Hamilton asserts that leveraging transparent and decentralized blockchain technology might provide an avenue to realign the firm’s market value with its actual assets, which currently amount to $43 million, along with $23 million in revenue for the fiscal year of 2023. Notably, the announcement of the Bitcoin-first strategy seems to have resonated with investors, as the company shares experienced a remarkable surge of over 50% in pre-market trading. Even after retracting some of these gains, the stock still demonstrated a notable increase of more than 61% within a week, reaching $0.95 per share.
Beyond the financial implications, Genius Group is venturing into the educational domain by introducing Bitcoin as a payment option across its EdTech platform. This innovative integration signals a broader commitment to cultivating solutions that bridge the gap between traditional educational models and contemporary digital economies. In conjunction with this, the company plans to launch the “Web3 Wealth Renaissance” series, designed to cultivate students’ understanding of Bitcoin, cryptocurrency, and blockchain technology through AI-facilitated learning experiences.
Hamilton stresses that Genius Group, as an AI-centric education entity, is well-equipped to guide both students and investors toward a future that harmonizes established financial practices with the burgeoning decentralized financial landscape. By emphasizing education in blockchain and cryptocurrency, the firm not only empowers its users but also potentially cultivates a generation of informed investors poised to navigate the complexities of digital finance.
The movement adopted by Genius Group aligns it with an increasing number of public companies acknowledging cryptocurrency as an integral component of their treasury strategies. Following the precedent set by MicroStrategy, which has amassed over 279,420 BTC since adopting a Bitcoin-first policy in 2020, additional firms like Semler Scientific and Tokyo-based Metaplanet are also exploring Bitcoin as a reserve asset. This emerging trend underscores a fundamental shift in corporate treasuries, where volatility and inflation concerns prompt businesses to seek refuge in digital currencies.
Genius Group Limited’s strategic adoption of Bitcoin not only reflects a broader corporate inclination towards cryptocurrency but also symbolizes a transformative approach to the intersection of education and finance. As the firm embraces this cutting-edge strategy, it stands at the forefront of a movement that is redefining both fiscal responsibility and educational innovation in the modern economic landscape.
