Meitu loses $ 17 million on BTC but gains $ 14.7 million on Ether

Meitu reportedly lost $ 17 million to BTC, but it has made up to $ 14.7 million from investments in ETH despite the recent crypto downturn. So, read more on the news today on our latest crypto news.

Hong Kong Tech Company Meitu lost $ 17 million from investing in BTC, but conversely, it made $ 14 million from its ETH holdings. The developer of the Photoshop-like apps spent a total of $ 100 million on BTC and ETH between April and March to buy back a total of 940 BTC for $ 49 million and 31,000 ETH for $ 50.5 million. According to a release from Meitu, the fair value of its BTC and ETH holdings is based on market prices, which is the last day of the company’s half-yearly results according to international accounting standards.

24 reasons $ ETH undervalued …

A subject of

– Croissants (@CroissantEth) July 7, 2021

As of the end of June 2, Meitu’s BTC holdings were $ 32 million and ETH was $ 65 million, a total of $ 2.6 million down from a $ 100 million investment Dollar equals. The company counts crypto assets in the interim results as “intangible assets under the cost model” and BTC losses are expected to be recorded as “loss losses” while that gain will not be treated as revaluation gain until then. The interim results are unchanged from the company’s optimistic sentiment towards cryptocurrencies:

“The board of directors believes that the blockchain industry is still at an early stage and that the cryptocurrency has plenty of room for appreciation in the long term.”

Due to the company’s long-term perspective, there are no plans to sell a similar one in the near future, the report said. The company also provided an updated fair value of the ETH and BTC holdings, which resulted in a total return of $ 5.2 million on the initial investment, with ETH equaling $ 72 million and BTC equaling $ 32 million. Ethereum could gain even more if the user “CrossaintETH” stays true to their prediction of why ETH is undervalued. In addition to ETH use cases in smart contracts, NFT, and decentralized funding, as well as the upcoming EIP-1559 upgrade and 2.0 transition, users pointed out that 94 out of 100 dapps are built on the Ethereum network:

“These protocols often have many other use cases with $ ETH that lay the foundations for the Web 3.0 economy.”

1. Smart contract

Smart contracts automatically execute code after certain conditions are met

It’s the first form of programmable money to exist and users can rely on it to create decentralized coin contracts without censorship.

Borrow, borrow, swap and do more with it! pic.twitter.com/W4p4kyf6D0

– Croissants (@CroissantEth) July 7, 2021

Pointing out stablecoins using the Ethereum network, the user cited Tether, USDC, TrueUSD and MakerDAO as he highlighted their multi-billion dollar market cap and outlined that USDC’s capital market just this year of 4 billion Has grown to $ 25 million.

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