The major IT company Globant reveals its purchase of $500,000 worth Bitcoin during the first quarter of 2021. An official announcement was released today morning.
Globant, an IT and software development firm, becomes the latest institutional investor of Bitcoin. The purchase of the crypto asset is worth $500K BTC in the first three-months of the year 2021.
The firm shares consolidated financial statements of purchase of digital assets. It reports the same to U.S Securities and Exchange commission stating,
“During the first quarter of 2021, the Company purchased an aggregate of [$500,000] in crypto assets, comprised solely of bitcoin.”
Globant invest on intangible assets
Moreover, Globant unveils investing in bitcoins as an “intangible asset.” The reason is, it does not require any physical storage or usage limits. The profit of these digital resources can be realized only when it’s sold out.
Therefore, the firm decides to add these crypto assets under intangible resources along with other expenses like, Licenses, customer relationships, customer contracts, and non-compete agreements under company’s control.
Even after sharing the financial statements of BTC purchase, Globant is non-transparent and costs involved in buying BTC kept secret. Also, any BTC buyers by the end of February can experience a loss currently. This relates to the firm as it invested in BTC in Q1. Additionally, all firms who buyed bitcoin in recent days are facing drops in the BTC market.
BTC purchasers currently underwater
All BTC buyers are currently facing a huge decline in the price value of bitcoins. The current market value of bitcoin is $37,500. The BTC price made a huge difference within three months. BTC institutional investors are in the red zone facing a bearish scenario in the crypto market.
Therefore, the BTC trend is overall bearish. So, the IT firm Globant might face a loss as it invested $500K worth BTC during the first quarter of 2021.
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