DigiAsia Shares Surge 91% After Announcing $100M Bitcoin Treasury Plan

Shares of Indonesian fintech company DigiAsia Corp (Nasdaq: FAAS) surged over 91% on May 19 after the firm announced ambitious plans to build a Bitcoin treasury reserve. The Jakarta-based company said it intends to raise up to $100 million to fund the purchase of Bitcoin and allocate half of its future net profits toward additional Bitcoin acquisitions.

DigiAsia’s board of directors approved the plan as part of a broader strategy to integrate Bitcoin into the company’s financial operations. The firm also revealed that it is in discussions with regulated partners to explore yield-generation opportunities, such as lending and staking, for its Bitcoin holdings.

In addition to raising capital, DigiAsia said it is evaluating the issuance of convertible notes or other crypto-linked financial instruments to support its Bitcoin strategy. The company sees this move as the beginning of a long-term shift toward integrating digital assets into its corporate treasury model.

DigiAsia’s Bitcoin plan has seen its stock price rise over 90% in the regular trading session. Source: Google Finance

Following the announcement, DigiAsia shares closed at $0.36 — a 91% gain on the day — before dipping 22% in after-hours trading to $0.28. Despite the daily rally, the stock is still down nearly 53% year-to-date, having previously peaked at just under $12 in March 2024.

In its most recent financial update on April 1, DigiAsia reported 2024 revenue of $101 million, a 36% year-on-year increase. The company projects 2025 revenue to grow by another 24% to $125 million, with expected EBIT (earnings before interest and taxes) of $12 million.

DigiAsia joins a growing wave of corporations turning to Bitcoin as a strategic asset. Inspired by Michael Saylor’s MicroStrategy — now known as Strategy — which holds over 576,000 BTC worth around $60.9 billion, more public companies are adding Bitcoin to their balance sheets. Other recent entrants include Strive Asset Management and GameStop, the latter having raised $1.5 billion in a convertible debt offering in April, some of which is earmarked for Bitcoin.

According to Bitbo, corporate Bitcoin treasuries now collectively hold more than 3 million BTC, valued at over $300 billion. Bitcoin itself is trading around $105,642, with a total market cap of approximately $2 trillion.

Blockstream CEO Adam Back has predicted that as more companies adopt Bitcoin treasury strategies, the asset’s market capitalization could skyrocket to $200 trillion over the next decade — signaling the early stages of a new financial paradigm.