BTCS Inc. (BTCS) is the first Nasdaq listed company to provide Bitcoin dividends. The company announced on January 5, after which the stock picked up and rocketed around 19% on Wednesday. The stock continuing on its Bullish trends is up over 30% in the pre-market trade on Thursday.
The stock traded was $4.36 on January 5, but after the announcement of ‘Bividends,’ the stock has consecutively risen. The stock had fallen to as low as $3.03 on January 4, but in the year-to-date prices, the stock has gone up by a whopping 114.75%.
Previously, the stock closed at $6.70, up around 19% on January 12, and is trading at $9.40, up 2.70 points (40.30%) in the pre-market trade today.
With a market capitalization of 68.845 million, the company’s trading volume rose around seven times from its average trading volume of 1.5 million shares. The stock has peaked at $11.05 in the last 52 weeks.
‘Bividend’- What is it?
BTCS Inc. (BTCS), a blockchain technology company, announced its first-ever dividend payable in Bitcoin. This is the first time a Nasdaq-listed company has done so. The new dividend custom is contradictory to traditional cash dividends, and more ‘Bividends’ could also pop up from other companies.
“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,”
CEO Charles Allen said in a press release.
BTCS is intended to pay shareholders a one-time dividend of 5 cents per share in Bitcoin, based on the bitcoin price on the ex-dividend date. However, investors will be given a choice from cash or Bitcoin, and those choosing cash would receive a cash dividend of 5 cents per share.
This announcement pushed its stock soaring, and the investors have gained more interest in the company. More investors may welcome Bividends, and many companies could also look forward to making the payment using Bitcoin.