While many institutions struggled to recover from the market downturn experienced in March, publicly-traded, blockchain-focused firm BTCS Inc. (OTCQB: BTCS) has increased its portfolio by 285 percent in Q2 2020, through well-timed investments in both bitcoin (BTC) and ether (ETH), and crossed the $1 million mark for cryptocurrency assets under management (AUM).
Following the positive growth performance seen in Q2 2020, BTCS is reportedly eyeing further growth and systemic diversification of its cryptocurrency holdings. However, BTCS said its investment strategy will only focus on cryptocurrencies which it believes are not securities.
Timely Crypto Purchasing Catapults BTCS Portfolio Valuation
At the end of June 2020, the BTCS crypto portfolio stood at a total value of $1.02 million with sizeable positions in BTC and ETH. Having elected not to add further investments to its portfolio, BTCS navigated the massive decline in cryptocurrency prices seen in mid-March.
With the World Health Organization (WHO) classifying the novel coronavirus as a pandemic on March 11, panic spread through both the crypto and broader financial space. By the following day, both markets were seeing a cascade of forced selloffs as traders sought liquid cash in preparation for the inevitable lockdowns.
By holding off from adding to its crypto investments during the first quarter of 2020, BTCS safeguarded its balance sheet from the decline seen on Black Thursday. Bitcoin fell to $3,867 in a matter of hours as token selloffs triggered forced liquidations across several derivatives exchanges, including BitMEX. The entire crypto market capitalization shrank by about 50 percent.
During Q2 2020, BTCS added 33.7 BTC and 1,319.6 ETH to its crypto holdings. In total, the company’s cryptocurrency exposure rose to 54.3 BTC and 2,304.6 ETH.
Since March 12, bitcoin is up almost 150 percent with its Q2 performance standing at 50 percent. In U.S. dollar (USD) terms, BTCS’s crypto holdings grew, primarily from accumulation, from less than $300,000 at the end of the first quarter of 2020 to over $1 million by the end of Q2 2020, representing a 285 percent increase.
Portfolio Diversification And Other Future Plans
Having successfully navigated the pitfalls in the crypto market during the first half of 2020, BTCS is reportedly looking toward expanding its cryptocurrency portfolio. However, given the mixed fortunes of other institutions since the onset of COVID-19, BTCS says it will adopt a carefully measured approach to its portfolio diversification plans.
BTCS is also looking to acquire controlling interests in businesses in the blockchain industry. Recent reports by Deloitte and LeadBlock point to increasing enterprise adoption of the novel technology with over a third of organizations across the world utilizing the emerging technology in their operations.
- Meet Pepo: The first crypto-powered app approved by Apple
- What Is Algo Affiliates and How Is It Changing the Marketing Game?
- eToro Debuts CopyTrader in the U.S. to Drive Mass-Market Participation in Cryptocurrency Trading
- Industrialists for the Industry: New Exchange Service From the Experienced Crypto Players
- How to Securely Trade Cryptocurrencies Without Creating an Account
- What is Energi 3.0?
- FinTab - The Accounting System for Cryptocurrency Portfolios
- New Cryptocurrency Exchange Swep.io: Limitless Speed and Convenience Sponsored
- Guide to Bookmap: Feel Market Movements in Real-Time
- Ethereum’s DeFi Dominance is here to Stay Say the Top DeFi Players
- How Governments Influence the Value of Bitcoin
- How to Get $40 To Trade Futures on Binance If You're a CryptoCompare User
- How to Trade Cryptocurrencies on Paybis
- Why Are Players Choosing CryptoSlots Over Other Casinos?
- ‘When The Music Stops’: Crypto Wallets Work to Be Crypto’s Safe Haven
- What’s the Deal With Bitcoin ETFs?
- New Player Beats Crypto Casino's Winnings Record with $650,000 Session
This website is only provided for your general information and is not intended to be relied upon by you in making any investment decisions. You should always combine multiple sources of information and analysis before making an investment and seek independent expert financial advice.
Where we list or describe different products and services, we try to give you the information you need to help you compare them and choose the right product or service for you. We may also have tips and more information to help you compare providers.
Some providers pay us for advertisements or promotions on our website or in emails we may send you. Any commercial agreement we have in place with a provider does not affect how we describe them or their products and services. Sponsored companies are clearly labelled.