Chinese Gaming Giant Boyaa Deepens Commitment to Bitcoin

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The Bitcoin ecosystem is drawing strong institutional interest, with the Chinese gaming giant Boyaa Interactive being the latest to invest.

On July 16, the Hong Kong Stock Exchange-listed firm announced a $1 million investment in the UTXO Management Bitcoin Ecosystem Fund. UTXO is the asset management partner of BTC Inc., a Bitcoin ecosystem media and research institution. BTC Inc. is the parent company of Bitcoin Magazine and the organizer of the Bitcoin Conference.

Boyaa Targets Web3 Leadership With Bitcoin Move

Alongside its investment in the UTXO Fund, the company plans to collaborate with BTC Inc. in the Bitcoin ecosystem strategically. This move showcases the company’s deepening commitment to Bitcoin.

In recent years, the Bitcoin ecosystem has evolved significantly as developments like Ordinals, BRC20, and Runes have transformed the blockchain network. This has shifted its ecosystem from a simple transactional currency to a platform supporting diverse digital assets. This growth has attracted many players eager to capitalize on innovations within the Bitcoin blockchain.

Boyaa stated that this investment and collaboration aim to establish it as a leading Web3 company in Asia. The firm also pointed out that it hopes to leverage Hong Kong’s growing “favorable policy on Web3” to achieve its goals.

“The Board is of the view that the Investment and the Cooperation will further promote the Group’s business development and layout in the Web3 industry, and show that the Group will deepen its presence in the Web3 industry and leverage the Group’s extensive experience in the web games industry and the favourable policy on Web3 in Hong Kong to build a pure and leading Web3 listed company,” the filing stated.

Meanwhile, reports also suggest that Boyaa Interactive is purchasing $100 million worth of Bitcoin for its treasury. Last year, the firm revealed plans to potentially buy up to $100 million worth of cryptocurrencies, mainly Bitcoin and Ethereum, within a year. At the time, the company noted that this purchase would redirect idle reserve funds into cryptocurrencies and diversify its Treasury management strategy in the long run.

“It is currently expected that the Company will use approximately $45 million to acquire each of BTC and ETH and the remainder of not more than $10 million will be used to purchase Tether USD (USDT) and USD Coin (USDC), which are cryptocurrencies of similar nature as they are pegged to US dollars and are considered as stablecoin,” the last year filing stated.

It is unclear whether the firm has made those purchases as of press time. However, the move reflects a growing trend of companies incorporating Bitcoin into their treasury assets. Recently, firms like Metaplanet, Semler Scientific, and DeFi Technologies have acquired over 1,000 BTC because they see the asset as a hedge against inflation and a safeguard against monetary instability.