Chinese Tech Giant Suffers $43 Million Impairment on Bitcoin (BTC), Ethereum (ETH) Holdings

Chinese tech giant Meitu Inc MEIUY has reported a significant loss in value on its cryptocurrency holdings.

What happened: Meitu recorded a loss of more than 300 million yuan or $43.4 million on its Bitcoin BTC/USD and Ethereum ETH/USD holdings, a local media reported on Wednesday.

The loss in value on cryptocurrencies held on its balance sheet doubled to 305 million yuan from a loss of 112 million yuan in the same period last year.< /p>

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As of April 2021, Meitu held a collective amount of $100 million on its balance sheet in the form of BTC and ETH. At the time, the company held 31,000 ETH and 940 BTC, most of which was bought when the market-leading cryptocurrencies were trading ahead of $1,700 and $50,000 respectively.

Earlier this year, Fortune reported that the company said it attributed its mounting losses to the falling value of crypto assets acquired during the year.

Meitu ranks 10th in terms of the size of BTC holdings held by listed companies. MicroStrategy Inc MSTR still holds the top spot, with 129,699 BTC worth $2.6 billion at press time, followed by Marathon Digital Holdings MSTR, which holds 10,000 BTC worth $201 million. dollars, and Coinbase Global Inc COIN which holds 9,000 BTC worth $180 million.

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Price Action: BTC was trading at $19,980 at press time, down 1.03% over 24 hours, according to data from Benzinga Pro.

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