Nasdaq-listed BTCS Inc. has purchased three Pudgy Penguins NFTs to expand its treasury holdings. The move follows the PENGU price’s bullish momentum as corporate NFT treasury talks gain popularity.
BTCS Diversifies Treasury With Pudgy Penguins NFT Purchase
In fresh treasury actions, BTCS increased its reserves by acquiring three Pudgy Penguins NFTs. This represents a strategic change for a company that has historically concentrated on accumulating ETH.
The firm recently executed its largest single ETH purchase to date, acquiring 14,240 ETH and boosting total holdings to over 70,000 ETH.
The addition of Pudgy Penguins by BTCS points to a larger diversification strategy meant to incorporate “blue-chip” NFT assets into the company’s holdings. With consistently high floor prices and strong community support, Pudgy Penguins has maintained a top-tier position in the NFT space since its launch in 2021.
The acquisition comes after growing industry interest in using NFTs as part of corporate reserve strategies, similar to how companies like Strategy hold Bitcoin. NFT market insiders believe such moves could change corporate finance.
Notably, Garga, CEO of Yuga Lab, suggested that NFT treasury companies could become a mainstream trend. They argue that NFTs bring cultural and social value that can improve brand connection and investor appeal.
However, others warn that NFTs’ price volatility and limited growth data make them riskier than investing in established cryptocurrencies like Bitcoin or Ethereum.
PENGU Price Jumps After Update
In light of the news, the PENGU price gained 3.34%. The token outperformed the broader crypto market’s 2.31% rise. The price jump coincides with a 7% weekly rise in Pudgy Penguins’ NFT floor price, which recently overtook Bored Ape Yacht Club in market cap.
Additionally, the NFT market experienced a notable rebound in July, with trading volumes reaching $6.6 billion, a 94% month-over-month increase. The momentum rekindled interest in blue-chip collections.
Pudgy Penguins also extended its ecosystem by entering into a collectibles licensing agreement with Suplay Inc. of China. Through Kraken’s promotion, they were also able to secure branding space on a Williams Racing Formula One car. More than 85 million people saw this.
Meanwhile, the PENGU price maintained strong technical momentum, trading above key moving averages as volume rose 30% to $838 million. Analysts have also suggested that the token could climb toward DOGE price levels, especially with its newly announced listing on Robinhood.
To determine whether the rally has sustained momentum, investors will need to observe the August NFT market cap data, which is anticipated next week. With BTCS’s recent action, sustained growth could increase PENGU’s momentum. In conclusion, institutional portfolios will be significantly impacted by the growing trend of corporate treasuries towards NFTs.
Michael Adeleke
Michael Adeleke is a passionate crypto journalist known for breaking down complex blockchain concepts and market trends into clear, engaging narratives. He specializes in delivering timely news and sharp market analysis that keeps crypto enthusiasts informed and ahead of the curve. With an engineering background and a degree from the University of Ibadan, Michael brings analytical depth and precision to every piece he writes.
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
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