KULR Technology Group Announces $5M Investment in Bitcoin
The KULR technology group announced a $5M investment into Bitcoin. The company’s Bitcoin holdings now stand at 668 BTC, also reporting an 181.1% BTC Yield, a KPI it uses to measure the performance of its Bitcoin holdings.
KULR has made multiple rounds of Bitcoin purchases since it announced its Bitcoin treasury strategy in late 2024. The company’s adoption of Bitcoin follows a trend that has seen more corporations, unions, and arms of government explore the suitability of digital assets as treasury assets.
Aside from KULR, more publicly traded companies are taking a more proactive approach to digital asset investment.
KULR Invests $5M in BTC
The KULR technology group, known for its advanced energy management platforms and thermal solutions, started its journey with Bitcoin adoption in 2024 when the company announced its Bitcoin treasury strategy. The company made its first BTC purchase on December 26, 2024, purchasing 217.18 BTC for approximately $21M based on market rates at the time.
The company rapidly grew its reserve, making Bitcoin purchases worth $8M in January and $10M in February. Most recently, the company purchased 56.3 BTC with a $5M investment, bringing its Bitcoin holdings to 668 BTC from 610.3 BTC.
The latest purchase was made at an average price of $88,824 per Bitcoin, according to a post from CEO Michael Mo on X. The company has now spent a total of $65M in Bitcoin acquisitions at $97,305 per Bitcoin.
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The firm’s stock experienced a 3.5% increase from the pre-market session.
The Firm Uses BTC Yield as a KPI Metric
KULR’s Bitcoin treasury strategy was announced on December 4, 2024. The company committed up to 90% of its surplus cash reserves to be held in Bitcoin, joining other publicly traded firms that have adopted Bitcoin as a treasury asset.
The technology firm’s commitment to Bitcoin follows a similar path taken by companies such as Strategy (formerly MicroStrategy) and Metaplanet, both of which have incorporated Bitcoin into their financial strategies. KULR’s acquisition and holding of Bitcoin not only diversify its balance sheet but also put the company in a position to capitalize on the potential of digital assets. These assets are generally seen as safeguards against inflation and as a store of value.
Year-to-date, KULR has achieved a BTC Yield of 181.1%. The company achieved this through a combination of surplus cash and its At-The-Market (ATM) equity program to fund purchases.
KULR Uses Its “BTC Yield” as a Key Performance Indicator (KPI)
KULR uses its “BTC Yield” as a key performance indicator (KPI) for its Bitcoin treasury strategy. BTC Yield is calculated as the percentage change from period-to-period in relation to the company’s Bitcoin holdings and its Assumed Fully Diluted Shares Outstanding. This KPI helps to assess the effectiveness of KULR’s Bitcoin acquisition strategy in a manner that the firm believes drives shareholder value.
Disclaimer on Stock Value
The press release made sure to mention that the trading value of the KULR stock is not solely dependent on its Bitcoin holdings.
“The trading price of KULR’s common stock is influenced by multiple factors beyond bitcoin holdings, and BTC Yield does not predict or reflect the stock’s market value,” it read.