Public energy tech company KULR purchases 217 BTC for $21m

KULR Technology invested $21 million in Bitcoin as part of its strategy to allocate 90% of excess liquidity to the cryptocurrency.

KULR, an American company specializing in thermal management solutions primarily for electronic components and batteries, acquired 217.18 Bitcoin (BTC) for nearly $21 million as part of the company’s Bitcoin Treasury strategy.

In a Thursday press release On Dec. 26, the San Diego-based company said Bitcoins were purchased at an average price of $96,556.53 per BTC. Amid the news, KULR shares rose 3.51% in pre-market trading, per data of Nasdaq.

The purchase follows that of the company announcement of its Bitcoin Treasury strategy, in which it announced that it would allocate up to 90% of its excess cash to Bitcoin. KULR says this $21 million purchase is the first of current purchases it intends to make in the future. KULR has chosen Coinbase’s Prime platform to provide custody, USDC, and self-custodial wallet services for its BTC, according to the press release.

KULR Chief Executive Officer Michael Mo earlier highlighted that the growing adoption of Bitcoin globally was a key factor in the decision, noting that the asset could strengthen the company’s balance sheet while supporting its operational growth.

KULR’s purchase of Bitcoin is part of a broader trend of companies adopting cryptocurrency as part of their financial strategies. Artificial intelligence company Genius Group recently also announcement $4 million in BTC purchases, bringing its holdings to 153 BTC as part of its “Bitcoin-first” strategy to allocate 90% or more of its reserves to the cryptocurrency.

Other companies, including Nasdaq-listed MicroStrategy and Acurx, have also extended their Bitcoin holdings to capitalize on its role as a hedge against inflation and a store of value supporting technological innovation.