ALBAWABA – Rumble, the online video platform, web hosting, and cloud services business, announced its plans to invest approximately $20 million in Bitcoin as part of its new treasury strategy.
Rumble invests in Bitcoin
The company stated that is plans to use some of its excess cash to purchase around $20 million worth of Bitcoin as it is following a new strategy.
Chris Pavlovski, Rumble chairman and CEO, said: “We believe that the world is still in the early stages of the adoption of bitcoin. Unlike any government-issued currency, bitcoin is not subject to dilution through endless money-printing, enabling it to be a valuable inflation hedge and an excellent addition to our treasury.”
Rumble aims to increase its stock value with this move, following in the footsteps of MicroStrategy, an American software development company that provides business intelligence (BI), mobile software, and cloud-based services.
MicroStrategy began investing in Bitcoin in 2020 and saw a massive increase in its stock value, rising by nearly 500% by 2024.
Rubmle recorded a significant boost this year of around 63% and its stocks increased by almost 42% in 2023. (Shutterstock)
Tesla, the American multinational automotive and clean energy company, and Block, the American technology company offering financial services to consumers and businesses, also deployed similar strategies.
Notably, all of these companies experienced significant increases in their stock prices as a result.
“We are also excited to strengthen our ties with crypto and to bolster our efforts to become the leading video and cloud services platform for the crypto community,” Pavlovski added.
Rumble popularity amid Trump’s presidency
It is worth noting that Rumble, the alternative application to YouTube, is very popular among conservatives in the US. The platform was previously acquired in 2022 by Cantor Fitzgerald, a financial services company.
Additionally, President-elect Trump selected Howard Lutnick, the CEO of Cantor Fitzgerald as the US Commerce Secretary last week, which could lead to further potential for the linked platform.
Rubmle recorded a significant boost this year of around 63% and its stocks increased by almost 42% in 2023.
Bitcoin keeps surging
Bitcoin recorded a major surge last week, nearing to $100,000. This was driven by promises from President-elect Donald Trump to support Bitcoin and cryptocurrencies overall.
Analysts expect Bitcoin to exceed $100,000 by the end of 2024, driven by increased demand for ETFs and potential interest rate cuts by the US Federal Reserve.
