Nasdaq-listed BTCS adds three Pudgy Penguins NFTs to its treasury, lifting PENGU price amid the booming NFT market.
BTCS Inc., listed on the Nasdaq, has acquired three Pudgy Penguins NFTs to increase its treasury holdings.
As corporate NFT treasury conversations gather traction, the move follows the upward momentum of the PENGU price.
BTCS Purchases Pudgy Penguins NFT To Diversify Treasury
By purchasing three Pudgy Penguins NFTs via new treasury operations, BTCS expanded its reserves.
This is a strategic shift for a business traditionally focused on ETH accumulation.
With the acquisition of 14,240 ETH, the company made its most significant single ETH buy to date, increasing its overall holdings to almost 70,000 ETH.
BTCS’s acquisition of Pudgy Penguins indicates a broader diversification plan to include “blue-chip” NFT assets in the company’s portfolio.
Since its debut in 2021, Pudgy Penguins has maintained a top-tier position in the NFT market due to its high floor prices and robust community support.
Similar to how businesses like Strategy keep Bitcoin, the acquisition follows increased industry interest in utilizing NFTs as part of a corporate reserve strategy.
According to NFT market insiders, such actions might alter corporate financing.
The CEO of Yuga Lab, Garga, suggested that NFT treasury companies might gain popularity.
They contend that NFTs add social and cultural value that might strengthen investor appeal and brand affinity.
Others caution that NFTs are riskier than investing in well-known cryptocurrencies like Bitcoin or Ethereum due to their price volatility and scant growth data.
Price Of PENGU Rises Following Update
The price of PENGU increased by 3.34% due to the news.
The token did better than the 2.31% increase in the whole cryptocurrency market.
The price increase comes as Pudgy Penguins’ NFT floor price, which just surpassed Bored Ape Yacht Club’s market capitalization, increased by 7% weekly.
Furthermore, the NFT market saw a significant uptick in July, with trading volumes hitting $6.6 billion, a 94% rise from the previous month.
Blue-chip collections gained popularity again as a result of the momentum.
Pudgy Penguins further expanded its ecosystem by signing a collectibles licensing deal with Suplay Inc. in China.
Additionally, Kraken secured sponsorship space on a Formula One car owned by Williams Racing through their promotion.
Almost 85 million people viewed this.
As volume increased 30% to $838 million, the price of PENGU maintained strong technical momentum, trading above important moving averages.
Analysts have also predicted that, given its recently announced placement on Robinhood, the token may rise to approaching DOGE price levels.
Investors will need to watch the August NFT market cap data, which is expected next week, to see if the surge has maintained strength.
Given BTCS’s recent actions, PENGU’s momentum might expand with continued growth.
In conclusion, the expanding trend of corporate treasuries towards NFTs will substantially impact institutional portfolios.
