DigiAsia shares rise by 90% after bitcoin strategy announcement
DigiAsia stock soars 91% on Bitcoin treasury adoption plan
Indonesian fintech firm DigiAsia (Nasdaq: FAAS) surged 91% to close at $0.36 on May 19 after revealing plans to adopt Bitcoin as a treasury reserve asset.
The Jakarta-based company said it will allocate up to 50% of future net profits to Bitcoin purchases, signaling a strong strategic shift toward digital assets, reports CoinGape.
Key Takeaways
- Stock Spikes 91%: DigiAsia shares rose sharply during regular trading, before falling 22% in after-hours trading.
- BTC Treasury Plan: The company plans to raise $100 million to begin building Bitcoin reserves and invest up to half of future net profits into BTC.
- Business Momentum: DigiAsia posted $101M in revenue for 2024, a 36% increase YoY, and projects $125M revenue for 2025.
- Corporate BTC Adoption Grows: Over 3 million BTC are now held by corporate treasuries worldwide, worth more than $340B.
Bitcoin Strategy Boosts Investor Sentiment
DigiAsia’s announcement aligns the firm with a growing number of public companies integrating Bitcoin into their corporate reserves. The board-approved plan includes exploring returns on Bitcoin through lending, staking, or crypto-linked services. The fintech firm also revealed ongoing discussions with licensed partners to ensure secure digital asset management.
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This puts DigiAsia in the company of Strategy, Metaplanet, and GameStop—all of which recently disclosed Bitcoin holdings as part of new treasury strategies. Analysts say such moves not only hedge against fiat depreciation but also position firms for potential capital appreciation.
Stock Gains Tempered by After-Hours Pullback
Despite the 91% gain during the day, DigiAsia’s stock slipped 22% in after-hours trading to $0.28. The surge still marks a recovery from the stock’s recent slump, though it remains down 53% year-to-date after peaking at nearly $12 in March.
DigiAsia stocks price. Source: Google Finance
Nevertheless, the firm’s fundamentals remain strong. DigiAsia’s $101 million in 2024 revenue represents a 36% jump from 2023. With projected revenue of $125 million and $12 million in EBIT for 2025, the company is signaling growth across its digital payments and fintech services.
Corporate Bitcoin Holdings Continue to Climb
According to Bitbo, companies globally now hold over 3 million BTC—more than $340 billion in value. Bitcoin itself is trading at $105,642, up 2% in the last 24 hours. The growing institutional adoption of Bitcoin is viewed by many as a long-term shift in treasury management and financial strategy.
By adopting Bitcoin, DigiAsia aims to solidify its position as a fintech leader in Southeast Asia. As more firms diversify their balance sheets with digital assets, the trend points to increasing corporate confidence in crypto’s role in financial infrastructure.
Recently we wrote that Strategy, a business intelligence firm best known for its aggressive cryptocurrency strategy, announced the purchase of an additional $765 million worth of Bitcoin, solidifying its position as the largest corporate holder of BTC.
