Hoth Therapeutics approves purchase of $1m Bitcoin

As a seasoned analyst who has witnessed the rise and fall of various markets over the years, I must admit that the news of Nasdaq-listed Hoth Therapeutics joining the Bitcoin bandwagon is quite intriguing. The biopharmaceutical industry traditionally doesn’t dabble much in digital assets, so this move by Hoth signals a growing acceptance and recognition of Bitcoin as a viable treasury reserve asset.


According to reports, Hoth Therapeutics, which trades on the Nasdaq exchange, has unveiled its intention to acquire Bitcoin for holding as a reserve asset.

On November 20th, Hoth announced that their board of directors had authorized a purchase of one million dollars’ worth of Bitcoin (BTC). Thus, Hoth is set to join the growing list of institutions adopting Bitcoin as part of their financial reserves.

Though Hoth’s Bitcoin buy is smaller than some recent investments, it serves as another substantial endorsement for Bitcoin. This premier digital currency remains captivating on Wall Street and worldwide, esteemed for its role as a secure asset for wealth preservation and protection against inflation.

Bitcoin has recently reached unprecedented peaks above $94,000, boosted by the news of Donald Trump’s victory in the 2024 U.S. election on November 5th. In recent times, BTC has exceeded the market value of silver and Saudi Aramco. Now, it also surpasses the combined market capitalization of Visa and Mastercard.

Robb Knie, CEO at Hoth Biopharma, explained multiple factors leading their clinical-stage biotech firm to invest in Bitcoin.

One of its features includes the increasing approval by institutional investors and the possibility of serving as a robust reserve asset for treasuries.

Hoth’s CEO added:

Given the recent green light for Bitcoin Exchange Traded Funds (ETFs) and heightened interest from institutional investors, we consider it a valuable component in our financial reserve plans. We’re confident that its resistance to inflation could make it a dependable investment, serving as a secure means of preserving wealth.

Bitcoin (BTC) has been experiencing significant demand ever since Trump’s re-election, as potential modifications at the United States Securities and Exchange Commission are seen as favorable factors that might strengthen the bullish sentiment in the market.

As an analyst, I’m currently observing the progression of a strategic Bitcoin reserve initiative for the U.S., led by Senator Cynthia Lummis. Intriguingly, her proposal suggests that the U.S. government consider liquidating some of its gold reserves to purchase Bitcoin instead.

From my perspective as an analyst, I’m observing that MicroStrategy is further bolstering its Bitcoin strategy. They’ve just increased their holdings by approximately $4.6 billion in Bitcoin assets.

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2024-11-20 18:28