Boya Interactive's Large-Scale Bitcoin Acquisition: 14,200 ETH Exchanged for 515 BTC, Holding Cost Analysis

Boya Interactive's Large-Scale Bitcoin Acquisition: 14,200 ETH Exchanged for 515 BTC, Holding Cost AnalysisBoya Interactive (Stock Code: XXX, please add stock code), announced a significant cryptocurrency asset adjustment strategy on November 29, 2024, via a Hong Kong Stock Exchange announcement. The announcement revealed that between November 19th and November 28th, 2024, the company conducted a large-scale exchange of Ether (ETH) for Bitcoin (BTC)

Boya Interactive's Large-Scale Bitcoin Acquisition: 14,200 ETH Exchanged for 515 BTC, Holding Cost Analysis

Boya Interactive (Stock Code: XXX, please add stock code), announced a significant cryptocurrency asset adjustment strategy on November 29, 2024, via a Hong Kong Stock Exchange announcement. The announcement revealed that between November 19th and November 28th, 2024, the company conducted a large-scale exchange of Ether (ETH) for Bitcoin (BTC). Specifically, Boya Interactive used 14,200 ETH to acquire approximately 515 BTC. According to the announcement, the total market value of this transaction was approximately US$49.48 million (excluding transaction fees).

It's noteworthy that the ETH used to acquire BTC was not recently purchased. The announcement clearly states that the original purchase cost of this batch of ETH was approximately US$39.45 million, based on an average purchase price of US$2,777 per ETH (excluding transaction fees). This means that Boya Interactive realized an unrealized gain of approximately US$10.03 million in this transaction. This gain will be included in the company's future financial statements and may have a positive impact on its overall financial condition. However, it's crucial to note that the cryptocurrency market is highly volatile, and this gain is not permanent; future price fluctuations could still result in the gain turning into a loss.

Following this transaction, as of the announcement date, Boya Interactive holds approximately 3,183 BTC. Based on the announcement data, the average cost of these Bitcoins is approximately US$57,724 per coin. This indicates a relatively conservative investment strategy towards BTC, with an average purchase price significantly lower than the Bitcoin price peak in 2021, demonstrating a robust investment approach. Of course, this doesn't mean Boya Interactive won't adjust its investment strategy in the future; changes in market conditions may lead the company to reassess its BTC holdings.

This large-scale BTC acquisition reflects Boya Interactive's confidence in the long-term value of the cryptocurrency market, particularly BTC. Choosing to make this large-scale asset adjustment at a relatively low point demonstrates the company's risk prediction and response capabilities. However, the cryptocurrency market still carries significant volatility risks, and any investment decision should be carefully considered and adjusted as per market changes.

Boya Interactive's transparent disclosure of this transaction is commendable and worthy of emulation by other companies in the industry. Clearly disclosing transaction details helps investors better understand the company's investment strategy and risk management mechanisms, thereby building investor confidence. Transparent financial information disclosure is crucial for maintaining company reputation and enhancing market value, especially in the volatile cryptocurrency market.

How Boya Interactive will manage its cryptocurrency assets in the future and whether its investment strategy will adapt to market changes will be key focal points for investors. This transaction also serves as a reference case for other companies in the cryptocurrency investment field, reminding them of the need for thorough risk assessment, and the formulation of sound investment strategies and risk management plans when investing in cryptocurrencies. Boya Interactive's large-scale exchange will undoubtedly attract widespread attention and discussion within the industry, and its subsequent developments warrant continued observation.