Canadian Firm Matador to Adopt Bitcoin as Reserve Asset, Plans $4.5M Initial Purchase
Canada-based Matador Technologies announces adopting Bitcoin as a strategic reserve asset, disclosing plans to open the purse with a $4.5 million purchase.Bitcoins adoption as a strategic reserve asset among public companies has hit a fever pitch. Most recently, another notable firm has joined the mix.In a press release yesterday, Canadas Matador disclosed that it would add Bitcoin to its balance sheet after a unanimous agreement by the Board of Directors. Notably, the company stated it would open the reserve account with a $4.5 million initial purchase.Matador Joins Bitcoin BandwagonMeanwhile, the initial December Bitcoin purchase will not be Matador's last. The company noted that it would periodically stack the asset in a measured buying program.Furthermore, Matador would move most of its cash balance from the Canadian dollar (CAD) to the US dollar (USD) to buy more Bitcoin. The firm would pursue the cause, firmly believing in Bitcoins dynamic qualities.Notably, the technology firm cited the growing economic uncertainties in Canada as a reason behind its decision. The company argued that it turned to the pioneering cryptocurrency to hedge against asset devaluation and decadence from growing national debt.Meanwhile, Matadors Bitcoin embrace coincided with that of La Rosa, a real estate firm in the US and Puerto Rico. The firm announced that clients can now pay for properties to their agents in cryptocurrencies.Adoption Reaches a Fever PitchThe recent adoption upsurge has sparked fear of missing out (FOMO) among public firms that do not hold the asset, triggering pent-up exposure to Bitcoin. Moreover, stocks of firms that embraced Bitcoin have performed exceptionally, fueling further adoption.Companies like Rumble and Metaplanet have adopted Bitcoin as a strategic reserve asset, with the latter leveraging debt instruments to increase its stash. Notably, the bet has paid off as Metaplanet is on course to record its first operating profit in seven years.The FOMO has also reached the international level. The United States, Russia, and the European Union, among others, are contemplating adding Bitcoin to their balance sheets
Text source: The Crypto Basic
