Nasdaq-listed GDC plans to buy Bitcoin and TRUMP memecoin for $300M

1 month ago

GD Culture Group (GDC), a Nasdaq-listed holding institution focused connected livestreaming, e-commerce and artificial intelligence-powered integer quality technology, plans to rise up to $300 cardinal for a cryptocurrency treasury reserve.

In a May 12 statement, GDC and its subsidiary, AI Catalysis Corp., announced entering into a communal banal acquisition statement with a British Virgin Islands constricted liability institution to merchantability up to $300 cardinal of its communal stock.

The proceeds from the banal merchantability volition beryllium utilized to money the firm’s crypto treasury, which volition see purchases of Bitcoin (BTC) and the Official Trump (TRUMP) token.

“Under this initiative, and taxable to definite limitations, GDC intends to allocate a important information of the proceeds from immoderate stock income nether the installation to the acquisition, semipermanent holding, and integration of crypto assets into its halfway treasury operations,” the institution said successful the announcement.

GDC described the strategy arsenic a determination to align with the broader “decentralization transformation.”

Founded successful 2016, GDC is simply a micro-cap institution with a existent $34 cardinal marketplace capitalization, according to Nasdaq data.

GDC’s president and CEO, Xiaojian Wang, said the inaugural builds connected the company’s strengths successful integer technologies and positions it for a blockchain-powered concern shift.

“GDC’s adoption of crypto assets arsenic treasury reserve holdings is simply a deliberate strategy that reflects some existent manufacture trends and our unsocial strengths successful integer technologies and the livestreaming e-commerce ecosystem,” Wang said.

The banal offering was announced implicit a period aft the steadfast received a noncompliance warning from Nasdaq related to its stockholders’ equity. The announcement indicated that the steadfast reported stockholders’ equity of lone $2,643, good beneath the minimum request of $2.5 million.

The steadfast was fixed until May 4 to taxable a program to comply with the listing requirements. If accepted by the Nasdaq, the compliance program volition let the steadfast up to 180 days from the notification play to comply with the requirements.

The Nevada-based institution joins a tiny but increasing radical of nationalist firms that are allocating portion of their equilibrium sheets to crypto assets.

Trump token meal planned for apical holders

GDC’s announcement coincides with an upcoming high-profile lawsuit tied to the Trump token project. The 25 largest holders of TRUMP tokens are acceptable to be a backstage meal astatine the White House connected May 22.

However, the TRUMP memecoin task said successful a May 12 X station that it has stopped considering further purchases for the meal and that the attendees had been notified to use for inheritance checks.

According to information provided connected the project’s leaderboard, the apical 220 wallets held much than 13.7 cardinal tokens arsenic of May 12, worthy astir $174 cardinal astatine the clip of publication.

White House, Donald Trump, Corruption, Memecoin

Some US lawmakers have criticized the dinner. Senator Cynthia Lummis reportedly said that the thought of the US President offering exclusive entree for radical consenting to wage for it “gives [her] pause.”

Crypto regularisation experts besides fearfulness that the Trump family’s crypto endeavors whitethorn trigger much regulatory scrutiny by the US Securities and Exchange Commission, arsenic politically affiliated memecoins present a caller situation for crypto legislation.