DaydayCook (DDC), a well -known food company from Hong Kong has unveiled ambitious plans in the field of digital currency. In a letter to shareholders on 15 May, CEO Norma CHU confirmed that the company wants to collect no less than 5,000 bitcoin in the coming 36 months.
First step: 100 Bitcoin purchased
As a first step in this strategy, DDC has now bought 100 Bitcoin, with an estimated value of approximately $ 10.4 million. The aim is to own at least 500 BTC by the end of 2025. That is striking, given the volatility of the cryptomarket and the continuing uncertainty about regulations in China.
Although DDC has made its strategy publicly known, the most recent sec files of the company do not contain specific reference to these plans. CEO Norma Chu stated:
“We started a groundbreaking initiative to position DDC at the forefront of digital innovation, with a sharp focus on the accumulation of Bitcoin.”
With this move, DDC follows the example of companies such as MicroStrategy and the Japanese metaplanet, which previously invested heavily in Bitcoin.
Financial strength and risks
The announcement comes after a strong financial year for DDC. In 2024, sales increased by 33% to 273.3 million Chinese Yuan, converted around $ 37.4 million. This suggests that the company has sufficient financial resources to support its ambitious cryptoplans.
Yet there are risks. New guidelines from the American Financial Accounting Standards Board (FASB), which have been in place since December 2023, can influence the accounting treatment of crypto assets. This can have consequences for how companies such as DDC have to answer their bitcoin ownership on the balance sheet.
China remains unpredictable
Although DDC is also active on the Chinese mainland, it is unclear whether China will relax his strict policy around Bitcoin and other cryptocurrencies in the future. Since 2021, trade and mining of crypto in China have been largely prohibited. In Hong Kong, on the other hand, there is a much liberal climate.
In recent years, the Stadstaat has developed into a regional crypto-hub, which may give DDC more room to implement its plans from Hong Kong, despite the limitations on the mainland.
Source: https://newsbit.nl/chinees-voedingsmerk-daydaycook-wil-5-000-bitcoin-kopen/
