In a groundbreaking move, South African investment firm Altvest Capital has become the first publicly listed African company to integrate Bitcoin into its treasury.
The firm has purchased one Bitcoin, valued at approximately $98,200, and plans to raise $10 million to increase its holdings.
Altvest is seeking approval from financial authorities to proceed with its fundraising efforts. The company’s CEO, Warren Wheatley, emphasized that the Bitcoin strategy is focused solely on the leading cryptocurrency, with no current plans to invest in alternative digital assets.
This approach mirrors the strategy employed by U.S.-based firm MicroStrategy, which began accumulating Bitcoin in 2020 as a primary treasury reserve asset.
The decision to incorporate Bitcoin into Altvest’s treasury is driven by a desire to preserve shareholder value, mitigate risks associated with currency depreciation, and gain exposure to a globally recognized store of value.
The move comes at a time when South Africa is experiencing increased regulatory engagement with the cryptocurrency sector. In March 2024, the Financial Sector Conduct Authority (FSCA) approved 59 cryptocurrency companies to operate within the country, reflecting a growing acceptance of digital assets in the financial ecosystem.
Altvest’s initiative positions the company at the forefront of financial innovation in Africa and signals a potential shift in how African firms approach asset management and value preservation.
As the regulatory landscape continues to evolve, Altvest’s pioneering move may pave the way for other companies on the continent to consider similar strategies involving digital assets.
