Matador Technologies, a Canadian firm specializing in tokenization, has decided to follow in the footsteps of giants such as MicroStrategy and adopt Bitcoin as part of its corporate treasury strategy.
Matador Technologies recently announced an initial purchase of $4,5 million worth of Bitcoin, after its board of directors unanimously approved the addition of Bitcoin as a strategic store of value asset. According to the company, Bitcoin is now an essential element of its growth strategy. long-term capital preservation.
Matador Technologies' decision to invest in Bitcoin reflects a growing trend among corporations seeking to diversify their assets and position themselves as a key player in the cryptocurrency ecosystem.
Bitcoin guarantees the financial security of Matador Technologies
Matador Technologies, like other leading companies in the sector such as MicroStrategy, Metaplanet, Semler Scientific, Marathon Digital and Kulr Technology, among others, has decided to invest in the growth and appreciation potential Bitcoin long-term.
The company stressed that with this strategy seeks protect against the increasing loss of purchasing power caused by the devaluation of fiat currencies, in particular the Canadian dollar. Matador Technologies sees Bitcoin as an effective solution to current economic risks, including Canada's dependence on oil exports and rising national debt, pointing to these as factors that could contribute to the depreciation of the Canadian dollar.
“The decision reflects Matador’s belief in Bitcoin’s role as a store of value asset that mitigates the risk of currency devaluation. This move follows global trends, as institutional adoption of Bitcoin grows among corporations seeking alternatives to depreciating bonds and currencies.”, the company said.
It should be noted that the Board of Directors of Matador Technologies approved the investment in Bitcoin highlighting the growing interest in cryptocurrencies as a strategy to safeguard its treasury in the face of economic uncertainty. Sunny Ray, president of the company, stated that both the board and the management of Matador "believe in the use of Bitcoin to Protect our treasure in the future”. This statement underlines the firm’s confidence in Bitcoin as a safe and stable investment and haven asset.
Despite having considered alternative cryptocurrencies such as Ethereum and Solana, Matador opted for Bitcoin due to the security provided by its blockchain, the most robust and capitalized market.
Exploring Bitcoin's Uses Beyond a Store of Value
In addition to including Bitcoin among its treasury assets, the company indicated that it has plans to explore other use cases for Bitcoin and its underlying technology. In relation to this, Ray spoke of exploring the use of Bitcoin as a platform to further develop its gold-based products. Matador Technologies has created a Proprietary application for buying and selling gold, which aims to “improve transparency and security, and ensure that transaction data is immutable, easily auditable and decentralized, to protect against manipulation and unauthorized access,” Ray stressed.
It is a platform tokenization blockchain-based cryptocurrency that will allow investors to own, trade and store digital representations of gold, backed by physical reserves, with the physical gold held at the Royal Canadian Mint, in a secure and accessible manner.
Through Bitcoin, the company is therefore looking for ways to protect its treasury reserves, and to leverage the potential of the blockchain to support the upcoming launch of its tokenized gold platform.
The growth of institutional adoption of Bitcoin in 2024
Bitcoin adoption by businesses and corporations has shown remarkable growth in 2024. Companies like Rumble, Workport, Booyah Interactive and Semler Scientific have begun to invest part of their capital in Bitcoin, seeking to diversify their asset reserves and capitalize on future opportunities within the crypto ecosystem.
Despite this significant increase in institutional investments, MicroStrategy continues to lead the way towards Bitcoin adoptionThe business intelligence firm, led by Michael Saylor, remains the largest corporate holder of Bitcoin, having made 50 BTC acquisitions since 2020 and accumulating a total of 446.400 BTC, valued at over $41.000 billion at the time of writing.
This year has also been marked by the approval of Bitcoin spot ETFs, which has further facilitated institutional entry into the world of cryptocurrencies. These funds are attracting impressive and unimaginable net flows into the crypto market, democratizing access to Bitcoin and other digital assets for traditional investors.
Therefore, as more companies consider Bitcoin as a viable reserve asset, this trend is expected to continue to rise, driven by the need for diversification and inflation protection.
