Meitu taps Coinbase for $89 million in Bitcoin and Ethereum purchases

The Chinese publicly listed Meitu chose Coinbase’s institutional-focused broker as a partner to convert $89 million of cash reserves into Bitcoin and Ethereum.

Coinbase Institutional was selected by @meituofficial for both trade execution and custody on their treasury allocation into Ethereum and Bitcoin. To learn more about how Coinbase Institutional is helping corporates diversify with crypto click here:https://t.co/esmVq9kaFT

— Coinbase Institutional (@CoinbaseInsto) March 24, 2021

Coinbase Institutional facilitated Meitu’s cryptocurrency trades for amounts $40 million and $49 million, and also provided custody of the digital assets.

Purchases of Bitcoin and Ethereum were executed via an over-the-counter platform across several venues to minimise market impact. The cryptocurrencies were subsequently transferred to Coinbase Custody’s cold storage.

Coinbase Institutional noted that they had previously helped convert reserves into cryptocurrency for publicly traded companies, including MicroStrategy. But the collaboration with Meitu is currently unique, as Ethereum accounted for a substantial portion of the purchases.

“Cryptocurrencies are not new, but their purchase for a public company with secure transactions and custody, regulatory compliance and audit rules still resembles navigating uncharted waters,” said Meitu CFO Gary Ng.

Earlier reports indicate that Coinbase helped Elon Musk’s Tesla invest $1.5 billion in Bitcoin.

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