Worksport Initiates BTC And XRP Purchases To Hedge Inflation And Embrace Crypto Adoption
In Brief
Worksport has acquired BTC and XRP as part of a newly implemented treasury strategy, considering it a long-term investment with plans to expand its holdings as surplus cash becomes available.
US-based company specializing in hybrid and clean energy solutions for light trucks, overlanding, and consumer goods, Worksport announced that it has taken its first steps into cryptocurrency investments. The company has acquired Bitcoin (BTC) and Ripple (XRP) as part of a newly introduced treasury strategy. With expectations of increased revenue, the launch of three new products, and a move toward positive cash flow in 2025, this strategic cryptocurrency investment aligns with broader global economic shifts.
Worksport’s Chief Executive Officer, Steven Rossi, stated that the company has been experiencing growth, with rising revenues and improving profit margins. He explained that their strategic treasury plan is designed as a cautious approach to mitigate inflation risks while also positioning the company to take advantage of potential regulatory advancements in the cryptocurrency sector. Worksport views its BTC and XRP holdings as a long-term investment.
Worksport has made its first six-figure investment in Bitcoin and Ripple this week, marking the beginning of its planned cryptocurrency holdings. The company reportedly views this as a long-term investment and intends to expand its position as surplus cash becomes available.
With these initial acquisitions in place, Worksport aims to strengthen its cryptocurrency strategy while closely monitoring regulatory developments under the new Donald Trump administration. Additionally, the company is preparing to introduce cryptocurrency payment options on its website, Worksport.com, offering global customers reduced transaction costs and greater payment flexibility. This initiative aligns with Worksport’s broader objective of utilizing blockchain technology and digital assets to enhance operational efficiency.
Worksport Unveils Digital Asset Adoption Strategy For Corporate Treasury
This purchase decision follows Worksport’s previously announced Bitcoin and XRP Treasury Strategy, which was introduced last December, where the company outlined its plan to allocate a portion of its excess cash reserves into these digital assets.
As part of its cryptocurrency strategy, Worksport’s Board of Directors has authorized the purchase of up to $5 million in BTC and XRP, with a cap set at 10% of the company’s excess operational cash. A key aspect of this strategy includes integrating cryptocurrency payment options on Worksport’s e-commerce platform, providing customers with greater flexibility while reducing payment processing costs. The company anticipates that cryptocurrency transactions could lower these fees by as much as 37%.
Additionally, Worksport may choose to convert interest earned from cash held in money market accounts into BTC and XRP. Future capital-raising efforts could also include allocating a portion of the funds to long-term cryptocurrency holdings, further underscoring the company’s commitment to digital assets as part of its broader financial strategy.
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About The Author
Alisa, a dedicated journalist at the MPost, specializes in cryptocurrency, zero-knowledge proofs, investments, and the expansive realm of Web3. With a keen eye for emerging trends and technologies, she delivers comprehensive coverage to inform and engage readers in the ever-evolving landscape of digital finance.
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Alisa, a dedicated journalist at the MPost, specializes in cryptocurrency, zero-knowledge proofs, investments, and the expansive realm of Web3. With a keen eye for emerging trends and technologies, she delivers comprehensive coverage to inform and engage readers in the ever-evolving landscape of digital finance.
