Meitu lost $ 17 million on BTC but won $ 14.7 million on Ether

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Meitu lost $ 17 million on BTC according to reports, but with ETH investments it hit $ 14.7 million despite the recent crypto downturn, so let’s read more in our latest crypto news. currency today.

Hong Kong-based tech company Meitu lost $ 17 million on its BTC investment, but on the upside, it earned $ 14 million on its ETH holdings. The developer of Photoshop-style apps spent a total of $ 100 million on BTC and ETH between April and March, acquiring a total of 940 BTC for $ 49 million and 31,000 ETH for $ 50.5 million. According to an announcement by Meitu, the fair value of its holdings of BTC and ETH is based on market prices which are the last day of the company’s half-yearly interim results in accordance with international financial reporting standards.

At the end of the second quarter of June, Meitu’s BTC holdings were $ 32 million and its ETH was $ 65 million, which is an overall drop of $ 2.6 million from its initial investment of $ 100. millions of dollars. The company accounts for cryptoassets as “cost model intangible assets” in interim results and the BTC loss should be recognized as an “impairment loss” while the gains will not be considered as a revaluation gain until then. Intermediate results have not changed from the company’s bullish sentiments towards crypto:

“The board believes that the blockchain industry is still in its infancy and cryptocurrencies have a wide margin of appreciation in long-term value.”

The report says that due to the long-term views of the company, there are no plans to sell the same in the near future. The company also provided an updated fair value of ETH and BTC holdings which reveals an overall gain of $ 5.2 million on the initial investment, with ETH at $ 72 million and BTC at $ 32 million. Ethereum could earn even more if the user of “CrossaintETH” is correct in predicting why ETH is undervalued. Besides ETH use cases in smart contracts, NFTs, and decentralized finance, as well as the upcoming EIP-1559 upgrade and transition 2.0, the user pointed out that 94 out of 100 Dapps are being built on the Ethereum network:

“These protocols often have many other use cases involving $ ETH, creating the foundation for the Web 3.0 economy.”

User pointed to stable coins that use Ethereum network citing Attached, USDC, TrueUSD and MakerDAO, highlighting their multibillion-dollar market cap and noting that USDC’s market cap has grown from $ 4 billion to $ 25 million this year alone.

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