SOS Stock Jumps 100% Following Plans to Purchase $50M Worth of Bitcoin

Publicly traded Chinese company SOS Ltd. has revealed plans to invest $50 million in Bitcoin (BTC) following approval from its Board of Directors. The specific date of the planned purchase is yet to be revealed.

Shortly after the announcement,  SOS’s stock (SOS) skyrocketed by a remarkable 100%, exchanging hands at $15.

SOS Expands Crypto Investments

According to SOS, the latest initiative is part of the company’s commitment to expand its blockchain business and reflects its long-term view of Bitcoin as a reliable store of value and a strategic asset.

“This move highlights SOS Ltd. efforts to expand digital asset investments. SOS believes Bitcoin is not only a cornerstone of the digital asset ecosystem but also has the potential to become a key global strategic reserve asset,” the company added.

SOS plans to introduce multiple quantitative trading strategies, including investing, trading, and arbitrage strategies, to help maximize returns and mitigate market volatility.

Commenting on the development, Yandai Wang, Chairman and CEO of SOS, said:

“Bitcoin market performance is robust and supported by positive developments such as the launch of several Bitcoin-related ETF options and ongoing improvements in the U.S. regulatory environment for digital assets. We believe this investment plan will further enhance the Company’s overall competitiveness and profitability in the digital asset investment sector.”

Growing Institutional Interest in BTC

SOS’s move mirrors a growing trend of institutional interest in Bitcoin. Earlier this month, Japanese investment firm Metaplanet expanded its Bitcoin portfolio, purchasing 124 BTC for 1.75 billion yen ($11.3 million).

On November 25, medical technology company Semler Scientific announced it increased its Bitcoin holding with 297 BTC ($29.1 million in market price at the time) as part of its ongoing Bitcoin treasury strategy.

Brazilian congressman Eros Biondini recently proposed a national Bitcoin reserve called the “Bitcoin Sovereign Strategic Reserve” (RESBit). The proposal suggests allocating up to 5% of Brazil’s international reserves, approximately $370 billion, to Bitcoin.

BTC trades at $96,240 at press time, up 4.4% on the day.