Video-sharing and cloud services platform Rumble has just spent $17.1 million to buy 188 Bitcoins, adding to its corporate treasury at an average price of $91,000 per coin.
The company confirmed the purchase today via a press release, saying it follows its previously announced plan to allocate up to $20 million into Bitcoin as part of its financial strategy.
Rumble has been expanding its presence in crypto, and has said that this purchase strengthens its position in the space and aligns with its long-term financial planning.
Rumble strengthens Bitcoin holdings amid economic uncertainty in America
Chris Pavlovski, Rumble’s Chairman and CEO, explained the reasoning behind the decision. “We are excited to announce these purchases and allocation of Bitcoin as part of our treasury strategy as well as a larger strategic move as we further expand our ties to the crypto industry,” Pavlovski said in the press release.
Pavlovski pointed out that Bitcoin is a hedge against inflation and is not subject to dilution like traditional currencies that governments overprint.
The company did not commit to a fixed Bitcoin buying schedule. It said future purchases will depend on market conditions, Bitcoin prices, and Rumble’s cash flow.
Rumble also said that the strategy could be paused, changed, or discontinued at any time. “As a leading video and cloud services platform for the crypto community, we are proud to officially hold Bitcoin as we continue to grow and engrain crypto into our company’s DNA,” said Pavlovski.
Meanwhile, the crypto market has been dealing with uncertainty. Donald Trump, now serving his second term as U.S. president, signed an executive order last week to create a Bitcoin reserve and digital asset stockpile. Some investors were disappointed by the order, mostly because it seemed less about Bitcoin and more about altcoins.
Then over the weekend, Trump also said he is not ruling out a possible recession, adding to concerns that already have markets on edge.
Inflation data from the Bureau of Labor Statistics released today showed that consumer prices rose by 0.2% in February, a lower-than-expected increase. The annual inflation rate now stands at 2.8%, down from a 0.5% increase in January.
The core CPI, which strips out food and energy prices, also rose 0.2% in February, bringing the 12-month figure to 3.1%. Economists surveyed by the Dow Jones had predicted slightly higher numbers.
Cryptopolitan Academy: Tired of market swings? Learn how DeFi can help you build steady passive income. Register Now
