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Nuvve said it would use 30% of its spare cash to buy Bitcoin, but its latest balance sheet suggests it won’t be able to buy much.
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Clean energy electric vehicle charging tech firm Nuvve has said it will begin to buy Bitcoin by putting aside nearly a third of its spare cash.
The Nasdaq-listed company said in a Jan. 28 press release that it would “allocate up to 30% of its excess cash, calculated based on its estimated six-month operating expenses” toward buying Bitcoin (BTC).
Nuvve said adding Bitcoin will diversify its treasury holdings, and the move aligns with its goal of offering a Bitcoin payment option.
“BTC acceptance will promote more payment options for customers and suppliers with potentially less transactional friction inherent to digital currencies,” said Nuvve founder and CEO Gregory Poilasne.
Nuvve, which provides charging stations for EVs that can sell excess energy back to the grid and other energy storage solutions, joins a growing list of non-crypto publicly traded companies buying Bitcoin with an aim to bolster their treasury and share price as the cryptocurrency has gained 150% over the past year.
Shares in Nuvve (NVVE) closed up by 1.81% to $2.81 on Jan. 28 — down from a daily high of over $4 but its stock climbed 1.42% after hours to $2.85, per Google Finance.
NVVE’s change in share price on Jan. 28 Source: Google Finance
Nuvve’s share price is down 99.93% from its all-time high of $8,000 in January 2021 and is down 10% so far this month.
The California-based firm brought in $1.92 million in revenue in the third quarter of 2024, a 29.3% fall from the previous quarter.
The firm’s third-quarter statement showed that it held $325,425 in cash and, if it decided to use 30% of it to buy Bitcoin today, could buy just under 1 BTC at its current trading price of $101,522.
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Bitcoin Treasuries data shows 62 public companies hold a combined 618,615 BTC worth over $62.6 billion.
Business software firm MicroStrategy remains by far the largest corporate Bitcoin holder at 471,107 Bitcoin, while the world’s largest electric vehicle firm, Tesla, owns 9,720 Bitcoin.
The 15 largest public companies by Bitcoin holdings. Source: Bitcoin Treasuries
Bitcoin is down 0.7% over the last 24 hours, CoinGecko data shows.
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This article first appeared at Cointelegraph.com News
