U.S. President-elect Donald Trump’s support for cryptocurrency is encouraging small businesses to allocate portions of their cash reserves to bitcoin, challenging the traditional preference for assets like Treasuries and cash as companies seek alternatives to protect against inflation.
In recent weeks, biotech firms Enlivex Therapeutics, Acurx Pharmaceuticals, and Hoth Therapeutics have announced plans to invest up to $1 million each in bitcoin as part of their treasury reserves.
These decisions highlight the growing interest in bitcoin among corporate treasurers, who view it as a potential safeguard in an environment marked by economic uncertainty, geopolitical tensions, and fiscal challenges.
“The advantages of using bitcoin as a treasury reserve are becoming increasingly clear. Companies incorporating bitcoin can potentially improve their market value rankings,” said Samson Mow, CEO of crypto infrastructure firm JAN3.
According to a report by financial services firm River, as of August, corporations held about 3.3% of the total bitcoin supply, a 30% increase compared to the previous year.
Enlivex CEO Oren Hershkovitz stated, “We had already been considering Bitcoin as a treasury tool, but Trump’s stance further supported the decision.”
