An online carpet and flooring retailer from the United Kingdom, Flooring Hut, has converted its cash reserves into the first cryptocurrency. As reported by Cointelegraph.
The chief executive Paul Brewster said the firm decided not to hold funds in a bank account, because Bitcoin may offer greater potential for returns.
“We view [the first cryptocurrency] as an asset that likely has the best potential for growing our capital at the moment,” he explained.
The store has declined centralized exchanges in favour of cold wallets, the manager clarified.
According to the British registry, Flooring Hut held £75,105 in May. At current prices, that would buy around 3.3 BTC.
Brewster added that the company operates exclusively with the first cryptocurrency. In his view, Bitcoin is “a standalone asset class akin to digital gold”.
He explained that running a business in 2023 in such difficult economic conditions means being “progressive”.
“We plan to reinvest these funds back into the business, which will deliver a more favourable price-to-quality ratio for our customers and give us an edge over competitors,” concluded Flooring Hut’s chief executive.
However, not everyone treated the shop’s decision as risk minimisation. Journalists at the Financial Times said it was clearly a publicity stunt to attract media attention.
As reported, Blockware Intelligence forecast that by 2023 global adoption of Bitcoin would reach 10%.
Earlier, analysts from Wells Fargo compared the development of breakthrough technologies with digital assets. They concluded that the latter have not yet passed the “tipping point” after which mass adoption of innovations begins.