As cryptocurrency picks up its pace, the South Korean online gaming giant, Nexon, decided to invest $100 million in Bitcoin.
The company that was founded by billionaire Kim Jung-ju, has now joined the growing list of companies investing in digital currency, Elon Musk’s Tesla is one of them. Compared to Nexon’s cash accumulation in December 2020, the recent bitcoin investment by the company is less than 2 percent.
Owen Mahoney, the president and the CEO of Nexon, recently talked about the company’s investment in Bitcoin and said, “In the current economic environment, we believe bitcoin offers long-term stability and liquidity while maintaining the value of our cash for future investments.”
In June 2020, Nexon announced that the company is planning to invest $1.4 billion in different entertainment companies. Since then the gaming giant has been on an investment spree. To date, the company has invested a total of $874 million in companies like Hasbro, a US-based toy maker and three Japanese companies, i.e., Bandai Namco, Konami and Sega Sammy.
Although the world’s largest currency, Bitcoin, is volatile in nature, Mahoney believes that the investment in digital currency has a disciplined strategy to protect shareholder value.
In the year 1994, Kim founded the gaming giant. In the year 2020, he registers his place in South Korea’s wealth ranking. He was in 3rd position with a net worth of $9.6 billion. Compared to the previous year, Kim’s net worth in the year 2020 surged by 52 percent.
It is to be noted that after the global lockdown, people around the world gave more time to online games, which helped Nexon in growing. Some of the major games introduced by Nexon are MapleStory, Kartrider and Dungeon & Fighter.