Nasdaq-listed blockchain technology-focused company, BTCS recently announced that it has decided to offer dividends in Bitcoin. Through the latest initiative, BTCS is planning to increase the adoption of the worlds most dominant digital currency.
With the announcement, the blockchain firm became the first-ever company listed on Nasdaq to offer dividends payable in Bitcoin. Referred to as Bividend, the BTC dividend is a first-of-its-kind offered by a listed company.
BTCS intends to pay $0.05 per share in BTC, based on the Bitcoin price on the ex-dividend date. For investors not interested in Bividend, the company is planning to pay a cash dividend of $0.05. The market cap of BTCS has increased substantially since 2019.
“We want to reward our long-time shareholders for their continued support and encourage financial freedom by providing the means to enable direct ownership of Bitcoin and other digital assets,” stated Charles Allen, Chief Executive Officer of BTCS. “In the crypto space, BTCS has a long history of firsts, including being the first pure-play U.S. public company focused on cryptocurrencies and blockchains, the first U.S. public company to mine Bitcoin, the first U.S. public company to implement a digital asset treasury strategy, and the first U.S. public company to secure next-generation proof-of-stake blockchains.”
Stock Price
Following the announcement, the stock price of BTCS spiked significantly. Since the start of 2022, the stock of BTCS has jumped by approximately 40%. For the payment of dividends, the company has set a record date of 17 March 2022.
“Now, we are the first Nasdaq-listed company to pay a Bividend, a dividend payable in Bitcoin at the option of our shareholders. This is a moment we have long anticipated since the Company purchased the domain, bividend.com, in February 2015. BTCS is now in the financial position required to execute on the Companys vision,” Allen added.
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