Rumble, the popular video-sharing platform, has officially confirmed plans to invest up to $20 million in Bitcoin as part of its new treasury strategy. The announcement follows a social media poll by Rumble’s CEO, Chris Pavlovski, on November 19, where an overwhelming 93.9% of participants supported the idea of adding Bitcoin to the company’s balance sheet.
In a statement issued on November 25, Rumble revealed that its board of directors had approved the decision, allowing the company to allocate a portion of its cash reserves toward Bitcoin purchases. The company emphasized that the timing of the purchase will be determined by management based on various factors such as market conditions, the price of Bitcoin, and Rumble’s financial needs at the time.
Why Bitcoin?
Rumble’s decision is based on a belief in Bitcoin’s long-term potential as a store of value. Pavlovski explained that Bitcoin offers a unique advantage over traditional currencies since it is not subject to inflationary pressures caused by government money-printing. He also highlighted the acceleration of Bitcoin adoption, particularly due to crypto-friendly policies from the US government and increasing institutional interest.
“We believe that the world is still in the early stages of Bitcoin adoption, and this strategy aligns with our vision to use Bitcoin as a hedge against inflation and a strategic tool for expanding our operations,” said Pavlovski.
Rumble’s Growing Influence in the Crypto Space
Rumble’s decision places it among a growing list of companies adopting Bitcoin into their financial strategies. MicroStrategy, led by Michael Saylor, is the largest Bitcoin holder with over 331,000 Bitcoins, worth roughly $36 billion. Similarly, Bitcoin mining firm MARA Holdings has raised funds to further expand its Bitcoin holdings. Other companies like Semler Scientific and Genius Group have also made significant Bitcoin purchases in recent months, with Genius Group aiming to hold up to 90% of its reserves in Bitcoin.
Rumble’s investment in Bitcoin aligns with its broader goal of expanding into the cryptocurrency space. The move has already had a noticeable impact on Rumble’s stock price, with shares rising 12.63% to $7.31 on the day of the announcement, continuing to climb in after-hours trading.
