Yello Paradisers! Hong Kong-listed software developer, Meitu, is reportedly gearing up to sell its cryptocurrency holdings, marking a significant shift in its investment strategy. This decision comes about two years after the Chinese company began including Bitcoin (BTC) and Ethereum (ETH) in its financial portfolio.
AI and Mobile Apps Drive Profits
A senior investor relations manager at Meitu highlighted to the Headline Daily newspaper that the company’s recent surge in profits primarily stemmed from its mobile application subscriptions and AI-driven products. The commentary suggests that while Meitu had previously shown interest in the crypto market, its focus has now shifted away from cryptocurrencies. The company is poised to sell its crypto holdings “at the appropriate time.”
Meitu’s Crypto Journey
Meitu made headlines in the crypto space when it acquired BTC and ETH valued at approximately $40 million in March 2021. Not long after, the company reinforced its crypto investment strategy, escalating its total cryptocurrency holdings to a whopping $100 million.
In an official regulatory filing, Meitu elucidated that its venture into the cryptocurrency realm was a strategic move to diversify its investment portfolio. The company lauded Bitcoin for its potential as a hedge against fiat currency depreciation and emphasized its role as a robust store of value. However, since its initial investment in 2021, Meitu has remained inactive in the crypto buying or selling arena.
