INLEO's Bitcoin & HIVE strategy primarily involves using corporate funds to heavily invest in Bitcoin and HIVE, essentially turning the company into a Bitcoin & HIVE holding company, by issuing debt or equity to buy large quantities of Bitcoin & HIVE, which then drives up the price of Bitcoin & HIVE further increasing INLEO's market value, creating a positive feedback loop; however, this strategy is highly dependent on Bitcoin & HIVE price appreciation and carries significant risk if the price falls significantly. I feel if Bitcoin falls in the crypto winter INLEO will fall harder like all alts. Back by Bitcoin we will only fall so hard then hit a wall of resistance and be sustainable. Epspecially approaching a bullrun we can set a side profits to ensure the longevity.
HIVE has been profitable year after year because they positioned themselves strategically. Harnessing free reusable energy to make a electric grid, providing energy to electric companys and most importantly mining Bitcoin and HODLING.
Key points about Hive's Bitcoin strategy:
Heavy Bitcoin accumulation:
HIVE has mined a large amount of Bitcoin using funds raised through the company producing 3.7 BITCOIN on average per day. HODLING 2,624 BITCOIN on the balance sheet.
Positive feedback loop:
By mining large amounts of Bitcoin, HIVE can potentially drive up its price, which then increases the market value of HIVE, allowing them to issue more debt to buy even more Bitcoin.
High risk, high reward:
This strategy has the potential for significant returns if Bitcoin's price continues to rise, but also carries substantial risk if the price drops significantly, impacting the company's financial stability.
Important factors to consider:
HIVE's vision:
DEVS are strong believers of Bitcoin as a long-term store of value, driving the company's decision to heavily invest in it.
Market volatility:
The price of Bitcoin is highly volatile, making HIVE's price vulnerable to significant fluctuations.
Impact on core business:
While HIVE has data centers and software technology, free reusable energy and whirlpool factorys the focus on Bitcoin mining has significantly impacted its stock price and overall perception. We are still so early, and have the opportunity to position ourselves before the hive ETF reaches us.
Just my thoughts hope you enjoyed. #threadcast