Rumble To Add $20 Million In Bitcoin
The idea of Bitcoin as part of a reserve is growing.
We covered how President-elect Donald Trump campaigned on this idea. Other countries around the world are starting to consider this concept.
Then we have Michael Saylor, who keeps adding to the Bitcoin position that Microstrategy has. He is even leveraging the position by taking on debt to add to the holdings.
Microsoft shareholders are going to vote on whether to add BTC as part of its reserve holdings.
All of this is adding up to generate enormous buy pressure for the leading cryptocurrency.
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Rumble To Add $20 Million In Bitcoin
While major companies will grab the headlines, the true impact is felt when lots of companies start to adopt this strategy.
It is great when a single company adds $1 billion. However, the impact is more potent when 20 companies buy $50 million. The reason is pretty clear. If the one company decides not to add more (or encounters financial difficulty), buying ceases. This is not the case when there are a variety of companies holding the asset.
The latest headline grab was done by Rumble.
YouTube alternative Rumble has become the latest company to confirm plans to add Bitcoin to its balance sheet, just days after its CEO teased the idea on social media.
In a Nov. 25 statement, the video-sharing platform said its board of directors approved the strategy, allocating a portion of the company’s excess cash reserves to Bitcoin (BTC) at the discretion of the company and up to $20 million total.
Here we have another example of a Board of Directors that believes in Bitcoin's store of value. That said, I am not sure we are dealing with a hedge against inflation considering the fact we saw 40 year highs in the CPI and the price of Bitcoin cratered. Nevertheless, companies are starting to turn in this direction.
Crypto Keeps Expanding
The election of Donald Trump generated a lot of excitement within the crypto community based upon the fact that he is promising to take a pro-crypto stance. Many were elated at the announcement that Gary Gensler is resigning his position as chair of the SEC.
He became the poster child for an anti-crypto Biden Administration. Paired with the likes of Elizabeth Warren, the Senator from Massachusetts, we saw both legal and public attacks.
This is expected to disappear.
In spite of the stance of the present administration, crypto had grown over the last 4 years. This shows how a global industry that operates, in many ways, at the grassroots, is cannot be stopped. While the pace might have been hindered, it still was able to advance forward.
One example of this is a report coming out of the United Kingdom:
UK Regulator the Financial Conduct Authority (FCA) has released new research revealing that 12% of UK adults now own crypto, up from 10% in previous findings.
This appears to be the trend within most countries. Obviously, details are a bit hard to isolate since there is a degree of anonymity with cryptocurrency. That said, all surveys along with other supporting data seems to indicate more people are getting involved.
It makes sense since this mirrors what is beginning with companies.
The Early Stages
My views is that cryptocurrency is going to be a part of most of the development that takes place on blockchain. The key is that crypto is simply one use case for blockchain.
Presently, it gets all the attention. However, when we consider what is taking place with AI, and the potential for agents tied to decentralized networks, we can see how important crypto becomes.
It is actually a transition from humans being involved in crypto to agents. That might be a metric people are monitoring in the future.
For example, we could see reports that 25% of all AI agents are using crypto, this up from 15% in the previous period. Transactions done by agents is going to skyrocket as we move towards the Agentic Internet.
In other words, most people will end up with AI agents who use cryptocurrency on their behalf.
That are parallels to the Internet. With the "global brain" being developed, we can forecast how impactful the digital world will be.
Crypto can only go along for the ride.
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Smart in many ways, both as getting PR and to hold a asset that might potentially go a lot.
Still a long way to go to be a huge threay to youtube.
It certainly could be a wise move. They can leverage it to greater levels. Bitcoin right now is PR.
Yes its big PR and a move that also differentiate them from the competition.