Gaxos Board of Directors Approves Bitcoin as Treasury Reserve Asset
Rhea-AI Summary
Gaxos.ai announced that its Board of Directors has approved the purchase of up to $1 million in Bitcoin as a treasury reserve asset. The company's CEO, Vadim Mats, cited Bitcoin's growing demand, acceptance as a major asset class, and recent ETF approvals as key factors in this decision. The company views Bitcoin's supply and inflation-resistant characteristics as beneficial for maintaining value in their treasury strategy.
Positive
- Board approval for strategic investment of up to $1M in Bitcoin as treasury reserve
- Potential hedge against inflation through Bitcoin's supply characteristics
Negative
- Exposure to cryptocurrency market volatility
- Significant allocation of company funds to a highly volatile asset
News Market Reaction
On the day this news was published, GXAI gained 21.38%, reflecting a significant positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
Roseland, NJ, Nov. 14, 2024 (GLOBE NEWSWIRE) -- Gaxos.ai Inc. ("Gaxos" or the "Company"), a company developing artificial intelligence applications across various sectors, announced today that the Company’s Board of Directors approved the purchase of up to
“As demand for Bitcoin grows and so does its acceptance as a major and primary asset class, we believe that Bitcoin will serve as a strong treasury reserve asset,” said Vadim Mats, CEO of Gaxos. “With recent approval of Bitcoin ETFs and growing support from institutional investors, it is a great addition to our treasury strategy. Its limited supply and inflation-resistant characteristics provide a functional store of value.”
About Gaxos.ai Inc.
Gaxos.AI isn't just developing applications; it's redefining the human-AI relationship. Our offerings span health and wellness as well as gaming. We're committed to addressing health, longevity, and entertainment, through AI solutions.
Forward-Looking Statements
All statements other than statements of historical fact in this announcement are forward-looking statements that involve known and unknown risks and uncertainties and are based on current expectations and projections about future events and financial trends that the Company believes may affect its financial condition, results of operations, business strategy, and financial needs. Investors can identify these forward-looking statements by words or phrases such as “may,” “will,” “expect,” “anticipate,” “aim,” “estimate,” “intend,” “plan,” “believe,” “potential,” “continue,” “is/are likely to” or other similar expressions. The Company undertakes no obligation to update forward-looking statements to reflect subsequent occurring events or circumstances, or changes in its expectations, except as may be required by law. Although the Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that such expectations will turn out to be correct, and the Company cautions investors that actual results may differ materially from the anticipated results and encourages investors to review other factors that may affect its future results in the Company’s filings with the SEC.
Gaxos.ai Inc. Company Contact
Investor Relations
E:ir@gaxos.ai
T: 1-888-319-2499
FAQ
How much Bitcoin investment did Gaxos (GXAI) Board approve in November 2024?
Why did Gaxos (GXAI) decide to invest in Bitcoin in 2024?
What is Gaxos's (GXAI) new treasury strategy regarding Bitcoin?
