Bitcoin Treasury Company GD Culture May Sell BTC to Buy Back Shares
GD Culture, a publicly traded AI and livestreaming company, has approved the sale of up to 7,500 Bitcoin (approximately $518 million) to fund a new share repurchase program. The program allows for up to $100 million in company shares to be bought back over the next six months. The company can sell its Bitcoin holdings in multiple transactions as it sees fit, but is not obligated to sell any specific amount; the program can also be modified or discontinued at any time. GD Culture originally acquired the Bitcoin through its September purchase of Pallas Capital. The total Bitcoin holdings currently exceed the amount needed for the planned buyback by about five times. Following the announcement, GD Culture’s stock rose 21% to $4.04, though remains down over the past month. Similar moves have been made by other firms like ETHZilla, Riot Platforms, and Cango, which have sold crypto assets to fund share repurchases or other corporate initiatives.
