- Riot has increased its holdings to 17,429 Bitcoin, which, at the current market price of $103,873, is worth $1.8 billion
- Over the last five trading days, Riot shares (ticker RIOT) have increased by more than 20%.
Riot Platforms has increased its holdings of bitcoin using the money raised from a recent sale of convertible senior notes.
By using the extra money from Riot’s $594 million, 0.75% coupon convertible bond offering, the company has bought 667 Bitcoin at an average price of $101,135 per Bitcoin. Riot has consequently expanded its holdings to 17,429 BTC, which are currently worth $1.8 billion at the current market price of $103,873 for BTC.
Between December 10 and December 12, the bitcoin miner had already purchased 5,117 bitcoin using a share of the net revenues from this offering.
Riot’s stock (ticker RIOT) fell 25% this year as miners found it difficult to stay profitable after the most recent halving of Bitcoin in April. But after The Wall Street Journal reported on December 12 that activist hedge fund manager Starboard Value had purchased a stake in Riot and intended to turn some of Its fortunes began to change when it moved its bitcoin mining facilities into space for hyperscalers.
Over the last five trading days, Riot shares have increased by more than 20%. The stock was up 7.4% in the first hour of Monday’s trading session, trading at around $13.95, at the time of publication.
Riot reported a BTC Yield per share of 37.2% so far this year from today’s acquisition and total mining output.
Once exclusive to crypto-natives, adding bitcoin to the balance sheet is now becoming more widely accepted due to a positive outlook following the election. Expect an increasing number of publicly traded companies to use extra treasury funds by considering bitcoin as a reserve asset as the floodgates begin to open.
Disclaimer : This article was created for informational purposes only and should not be taken as investment advice. An asset’s past performance does not predict its future returns. Before making an investment, please conduct your own research, as digital assets like cryptocurrencies are highly risky and volatile financial instruments.
