Key Takeaways:
- Stock Surge: Worksport’s (NASDAQ: WKSP) shares rose 9.1% following its announcement to include Bitcoin and XRP in its treasury strategy.
- Crypto Allocation: The company will allocate up to 10% of surplus operational cash, starting with an investment of up to $5M in Bitcoin and XRP.
- E-Commerce Integration: Worksport will accept cryptocurrency payments, anticipating a 37% reduction in transaction costs.
Shares of Worksport (NASDAQ: WKSP), a U.S.-based energy solutions company, rose 9.1% on December 5 following its announcement to integrate Bitcoin (BTC) and XRP into its treasury strategy.
The company plans to allocate up to 10% of surplus cash, with an initial investment of $5 million, into these cryptocurrencies to hedge against inflation and diversify holdings.
$WKSP Worksport To Adopt Cryptocurrency, Bitcoin and XRP for Corporate Treasury.
— Worksport Ltd. (@WorksportLtd) December 5, 2024
Learn more: https://t.co/Z2Lv3WD2m9 $BTC $XRP #StockMarket #StockMarketUpdate #Growth #investors pic.twitter.com/gZ7FBdJ8RZ
Additionally, Worksport intends to accept cryptocurrency payments on its e-commerce platform, projecting a 37% reduction in transaction costs.
CEO Steven Rossi highlighted Bitcoin and XRP’s appeal as inflation-resistant assets and reliable stores of value.
Worksport aims to convert interest from money market accounts into cryptocurrencies and allocate part of future capital raises to digital assets.
The company specializes in truck energy solutions, including tonneau covers with integrated solar power systems.
Publicly listed firm, Worksport, has seen its shares spike on the news that it intends on allocating up to 10% of its excess cash to buy $BTC and $XRP
— CryptoSavingExpert ® (@CryptoSavingExp) December 5, 2024
The firm's initial investment will be up to $5m 🤑🤑
Worksport’s adoption aligns with a growing corporate trend of using cryptocurrencies for treasury management.
Notable pioneers include MicroStrategy, which saw significant returns from Bitcoin investments.
Other companies, such as Coinbase, Mercado Libre, and Meitu, also hold digital assets on their balance sheets.
Rossi emphasized the strategy’s potential to enhance financial resilience and align with the future of global finance, marking a significant step in broader corporate cryptocurrency adoption.
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