Street Calls of the Week
TNL Mediagene Inc. (TNMG) announced plans to establish a digital asset treasury strategy that will incorporate Bitcoin, Ethereum and Solana as part of the company’s treasury assets, according to a press release statement.
The Tokyo-based digital media company said its digital asset treasury strategy will exclude other cryptocurrencies that do not meet standards of scale, liquidity, institutional adoption and regulatory transparency. The company has formed an advisory group comprising experts from digital asset and Web3 companies including CoinDesk, Nonagon, hottolink and Matter Labs.
The company generated $48.5 million in consolidated revenue for fiscal year 2024, representing 35% year-over-year growth, with 45 million monthly unique users and 189 million monthly digital footprints.
"We see tremendous potential in digital assets and the multitude of ways a DAT Strategy can benefit and create synergies with our existing high-growth, high-visibility media business," said Co-Founder and CEO Joey Chung in the statement.
TNL Mediagene said the strategy is designed to enhance financial flexibility for future growth initiatives including acquisitions while opening business opportunities in the digital asset space. The company emphasized that digital assets can be volatile and subject to regulatory risks, leading to its decision to limit holdings to what it considers the three most established cryptocurrencies.
The company is working with financing partners and institutional custodians to develop investment and management policies. TNL Mediagene expects to finalize details of its digital asset treasury strategy, including asset allocation timing and service provider selection, in the coming months.
TNL Mediagene was formed in May 2023 through the merger of Taiwan’s The News Lens Co. and Japan’s Mediagene Inc., operating media brands across Japanese, Chinese and English markets with approximately 500 employees across Asia.