Sequans Announces Plan to Acquire 100,000 Bitcoin by 2030
- Sequans aims to acquire 100,000 Bitcoin by 2030.
- The strategy is led by CEO Dr. Georges Karam.
- Initial capital of $384 million has been raised.
Sequans Communications S.A., a Paris-based publicly traded firm, plans to acquire 100,000 Bitcoin by 2030 as part of its treasury strategy, confirmed by the CEO.
Sequans’ significant Bitcoin accumulation aims to enhance shareholder value, though its shares dropped 7% post-announcement, indicating market concerns about aggressive cryptocurrency acquisition.
Sequans Communications S.A., a publicly traded IoT semiconductor firm, has announced its strategy to acquire 100,000 Bitcoin by 2030. This marks a significant shift in its treasury strategy, adding to its existing holdings of over 3,000 BTC.
Led by CEO Dr. Georges Karam, the initiative is aimed at maximizing Bitcoin per share value. As Dr. Georges Karam stated, “Sequans has successfully completed the first phase of its strategy, acquiring over 3,000 BTC in just one month. Our next objective is to scale our approach to maximize Bitcoin per share and deliver sustained value to shareholders through disciplined and responsible accumulation, with a target of acquiring 100,000 BTC by 2030.” The company plans to use a phased approach with equity and debt to achieve this large-scale accumulation.
The announcement has resulted in a 7% drop in Sequans’ share prices. Though this reflects immediate market apprehensions about aggressive Bitcoin accumulation, the firm remains confident in its long-term impact.
The financial strategy is unique in its scale for a technology firm. Sequans has lined up capital and aims to explore Bitcoin-backed credit instruments to support future growth through possible intellectual property monetization.
While the market absorbs the news, industry experts draw parallels with past strategic moves by companies like MicroStrategy. The trend showcases an increasing pattern of corporate interest in Bitcoin as a treasury asset.
Historical data suggests that such corporate investments can stimulate market interest in Bitcoin. Regulatory scrutiny remains a potential concern, but government backing and public listing may provide Sequans with needed support for its long-term strategy.
