Thumzup Media Corporation, a social media marketing-turned-crypto-buying firm, plans to boost its crypto holdings and get into crypto mining after raising $50 million from investors.
Thumzup said on Wednesday that it would expand its crypto-related strategy “to include large-scale cryptocurrency mining and targeted blockchain investments.”
The company said it will use some of the $50 million it raised from a $10 per share offering on Tuesday to buy “state-of-the-art cryptocurrency mining infrastructure” and was engaging with mining technology providers to “accelerate the buildout.”
The firm currently holds 19.1 Bitcoin (BTC) after buying it for the first time in early January, joining a trend of public companies that have bought up cryptocurrencies in the hopes of boosting their share price.
Donald Trump Jr., son of US President Donald Trump, bought 350,000 shares of the company, then valued at nearly $3.3 million, according to a regulatory filing in early July, deepening the Trump family’s already extensive interest in the crypto industry.
Bitcoin hits new peak as it nears $125,000
Thumzup’s planned buys come just as Bitcoin has climbed to an all-time high of over $124,000, with traders hoping it will propel above $125,000.
Bitcoin hit a record peak of $124,128 just before 12:40 am UTC on Thursday, according to CoinGecko. It’s since cooled to $123,683, having gained 3.6% over the past 24 hours.
Thumzup said in early July that, in addition to Bitcoin, it planned to buy up Dogecoin (DOGE), Litecoin (LITE), Solana (SOL), XRP (XRP), Ether (ETH) and USDC (USDC), with its board later allowing it to hold up to $250 million worth of crypto.
Thumzup shares lift after the bell
Shares in Thumzup (TZUP) saw a 7.62% gain in after-hours trading on Wednesday to $10.87 after closing the trading day at a loss of nearly 1.1%.
Thumzup has gained almost 194.5% so far this year and its most recent all-time high was recorded on Friday at $15.46.
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However, its stock price dropped nearly 33% to $10.40 when it opened for trading on Monday after announcing it would publicly offer non-voting convertible preferred stock, which it later changed.
Sweden’s H100 Group boosts Bitcoin holdings
Bitcoin and crypto treasury firms have continued to scoop up cryptocurrencies despite rising crypto prices.
Stockholm-based health technology firm H100 Group said on Wednesday that it purchased 45.8 BTC, bringing its total holdings up to 809.1 BTC.
H100 said it spent an average of under 1.14 million Swedish krona ($119,090) per Bitcoin for a total cost of $5.47 million.
It puts H100 as having the 42nd largest Bitcoin holdings among publicly traded firms globally and cements its fourth-place among EU companies, which are led by Germany’s Bitcoin Group SE with 3,605 BTC, according to BitcoinTreasuries.NET.
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