- Vanadi Coffee plans to invest $1.1 billion in Bitcoin after incurring losses in 2024.
- Chairman Martí seeks board approval for major BTC accumulation.
- Strategy mirrors MicroStrategy’s successful Bitcoin-first model.
Vanadi Coffee, a well-known Spanish café chain, is making headlines with its bold decision to invest over $1.1 billion in Bitcoin. Following the footsteps of MicroStrategy, Vanadi is planning a complete transformation into a Bitcoin-first company, as confirmed by Chairman Salvador Martí.
The company’s decision follows a challenging financial year. In 2024, Vanadi reported losses of $3.7 million, an amount that surpasses its total annual revenue by nearly $600,000. In response to this downturn, Martí proposed a radical change: to pivot the company’s financial reserves entirely into Bitcoin.
Martí announced plans to seek board approval at the upcoming June 29 meeting. He has asked for permission to accumulate Bitcoin worth up to €1 billion (approximately $1.1 billion USD) and for authorization to pursue convertible financing deals to fund the initiative.
Martí stated:
“I ask the board for authorization to implement the Bitcoin accumulation strategy… and carte blanche to negotiate one or more lines of convertible financing” .
Following MicroStrategy’s Playbook
This strategy closely mirrors that of U.S.-based software firm MicroStrategy. Under Chairman Michael Saylor, MicroStrategy transformed itself into a Bitcoin powerhouse, using stock offerings to buy BTC and holding billions in reserves.
Vanadi has already started down this path. Two weeks ago, Martí executed an initial purchase of 5 BTC worth about $500,000. The announcement of further Bitcoin investments initially caused a spike in Vanadi’s stock price, although those gains were largely wiped out soon after.
Although risky, Martí feels that this change is essential if the company is to survive and thrive. Indeed, in his mind, Bitcoin has to be more than just a hedge-it has to be one of the very core pillars in Vanadi’s identity going forward.
Risks and Rewards
Nonetheless, these serious risks attach themselves to linking the very financial strategy of a traditionally non-tech company with Bitcoin. The wild swings in Bitcoin prices could bring in unpredicted instabilities in Vanadi’s valuation and operations. Signs of nervousness among stockholders were already there when, after news about Bitcoin, fluctuating stock prices were observed..
Still, Martí remains optimistic. He cites GameStop’s recent pivot to Bitcoin, which helped stabilize the struggling gaming retailer earlier this year. GameStop’s BTC bet has so far proven profitable, and Martí hopes Vanadi can see similar results.
While critics argue that such a massive pivot for a coffee chain is overly speculative, Vanadi is betting that digital assets could be its recipe for long-term recovery.
Highlighted Crypto News Today:
Solana Memecoin Platform Pump Fun Eyes Massive $1B Fundraise
