PublicSquare explores digital asset treasury strategy

Published 27/05/2025, 13:14
PublicSquare explores digital asset treasury strategy

WEST PALM BEACH, Fla. - PublicSquare (PSQH), a prominent American marketplace and payments ecosystem with a market capitalization of $90.62 million, has announced plans to investigate a Digital Asset Treasury Strategy, which may include investing a portion of its treasury in Bitcoin, stablecoins, and other digital assets. This move is aimed at diversifying its reserves and capitalizing on emerging financial technologies. According to InvestingPro analysis, the company maintains strong liquidity with a current ratio of 4.52, suggesting it has ample resources to explore new strategic initiatives while maintaining operational stability.

The company, which has yet to purchase any digital assets, intends to make any future acquisitions cautiously, ensuring they do not affect its liquidity or growth goals. This prudent approach aligns with the company’s impressive revenue growth of 201.84% over the last twelve months, as reported by InvestingPro. Blake Masters, a board member and cryptocurrency advocate, sees digital assets as a significant alternative to traditional finance and believes PublicSquare is positioning itself to lead in financial innovation. For detailed insights into PSQH’s growth trajectory and comprehensive analysis, investors can access the full Pro Research Report, available exclusively on InvestingPro.

Michael Seifert, Chairman and CEO, expressed that the company’s commitment to liberty aligns with supporting decentralized finance and expects non-traditional payment methods to gain market share. PublicSquare is actively exploring integrating stablecoins into its Payments & Marketplace ecosystem, enhancing customer engagement, privacy, security, and fintech offerings.

PublicSquare plans to use proceeds from its recent at-the-market offering program for general corporate purposes, including the potential digital asset strategy, investments, mergers, acquisitions, and working capital. The company has filed a prospectus supplement with the SEC for an at-the-market offering of up to $50.0 million in common stock, though it does not guarantee any share sales. The timing and quantity of any sales will depend on various company-determined factors. With a debt-to-equity ratio of 1.24, the company operates with moderate leverage, providing flexibility for strategic initiatives while maintaining financial discipline.

The offering will be conducted through Roth Capital Partners, LLC, and TCBI Securities, Inc., DBA Texas Capital Securities, as co-sales agents. Sales may occur on the NYSE or other markets, with the agents using commercially reasonable efforts.

Digital assets have become mainstream investments, with increased institutional adoption. PublicSquare’s consideration of digital assets in its treasury aligns it with institutions viewing cryptocurrency as a hedge against inflation and a growth asset. While the stock has experienced a significant decline of 56.17% year-to-date, InvestingPro analysis suggests the stock may be undervalued at current levels, presenting a potential opportunity for investors interested in the digital asset space.

This news article is based on a press release statement from PublicSquare.

In other recent news, PSQ Holdings Inc. reported substantial revenue growth for the first quarter of 2025, with a 95% year-over-year increase, reaching $6.75 million. The company’s gross margin also improved significantly to 58%, up from 43% in the same quarter last year, while operating expenses decreased by 10%. PSQ Holdings’ FinTech division contributed $3.05 million to the revenue, while its Brands segment, EveryLife, added $3.27 million. The company is optimistic about achieving operating cash flow positivity by the end of the year and aims for over $46 million in revenue growth for 2025. In addition, PSQ Holdings plans to further decrease operating expenses and focus on onboarding gross merchandise value between $2.5 billion and $3 billion. The company highlighted its strategic focus on innovation and cost management as key drivers of its robust performance. Furthermore, PSQ Holdings is exploring the integration of cryptocurrency and stablecoin strategies, positioning itself for future market opportunities.

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