Nuvve has announced that it plans to set aside 30% of its spare cash to buy Bitcoin. However, its current financial situation suggests it won’t be able to purchase much.
This clean energy electric vehicle charging company shared its intentions in a press release on January 28. They stated they would allocate up to 30% of their excess cash, based on estimated operating expenses for the next six months, to Bitcoin purchases.
Nuvve believes that adding Bitcoin will help diversify its treasury holdings. Plus, they aim to offer a Bitcoin payment option. Gregory Poilasne, the founder and CEO, mentioned, “BTC acceptance will promote more payment options for customers and suppliers with potentially less transactional friction inherent to digital currencies.”
Nuvve, which provides EV charging stations that can sell excess energy back to the grid, is joining a growing list of publicly traded companies that are investing in Bitcoin. This move is aimed at strengthening their treasury and boosting their share price, especially since Bitcoin has surged 150% over the past year.
On January 28, Nuvve’s shares (NVVE) rose by 1.81%, reaching $2.81. This was down from a daily high of over $4. After hours, the stock climbed an additional 1.42% to $2.85, according to Google Finance. However, Nuvve’s stock has dropped 99.93% from its all-time high of $8,000 in January 2021, and it has fallen 10% so far this month.
In the third quarter of 2024, Nuvve reported $1.92 million in revenue, which is a 29.3% decline from the previous quarter. Their report showed they had $325,425 in cash. If they choose to use 30% of that for Bitcoin today, they could buy just under 1 BTC at the current price of $101,522.
According to Bitcoin Treasuries data, 62 public companies hold a total of 618,615 BTC, valued at over $62.6 billion. MicroStrategy stands out as the largest corporate holder with 471,107 Bitcoin. Meanwhile, Tesla, the biggest electric vehicle manufacturer, owns 9,720 Bitcoin.