K-Pop Firm's Stock Soars 143% After Revealing Bitcoin Purchase Plans
K Wave Media's stock surged 143% after announcing plans to allocate a significant portion of a $500 million capital raise towards building a Bitcoin treasury. The firm intends to sell up to $500 million in common stock to Bitcoin Strategic Reserve KMW, with proceeds primarily reinvested into Bitcoin. This includes purchasing Bitcoin, funding long-term holding strategies, and operating Bitcoin Lightning Network nodes. K Wave Media's Co-Interim CEO emphasized Bitcoin's potential for innovation and scalability. Despite the stock's recent rise, it remains down 61% year-to-date. The move aligns with a trend of companies establishing Bitcoin treasuries, with 223 entities reported as having done so. K Wave Media will also use part of the funds for working capital and expanding its K-pop content and merchandising, exploring blockchain integrations to enhance consumer engagement in the Web3 space.
