British fintech group Mode Global Holdings to shift up to 10% of capital into Bitcoin

The London-listed fintech group Mode Global Holdings PLC announced the purchase of bitcoins as part of its investment strategy.

Mode Global Holdings became the first British public company to announce a cryptocurrency purchase. It earmarked up to 10% of its capital for this purpose.

In the company’s statement, it noted that its confidence in Bitcoin had grown amid the coronavirus crisis unleashed by the pandemic and the Bank of England’s lowest interest rates in 326 years.

“This decision is part of a long-term strategy to protect investors’ assets from currency depreciation,” the statement said.

Earlier two other major companies invested in Bitcoin. In August, the Nasdaq-listed analytics software provider MicroStrategy acquired 21,454 BTC (~$250m at the time of the deal), and a month later bought another 16,796 BTC for $175m. The firm’s total investments amounted to $425m.

In October, Square, Jack Dorsey’s company, invested $50 million in Bitcoin. The company’s investments in Bitcoin were valued at roughly 1% of its total assets at the end of the second quarter of 2020.

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