New York digital marketing firm and radio station company Townsquare Media has become one of the latest businesses to add Bitcoin to its balance sheet.
According to the filing with the United States Securities and Exchange Commission (SEC), Townsquare Media has purchased $5 million USD worth of Bitcoin. The filing was noted by Macroscope this week, which tweeted the news with a comment from Townsquare. According to the media firm, the investment is a result of the “long-term potential” it sees in digital assets.
In an SEC filing today, Townsquare Media (NYSE: TSQ), based in New York, stated:
“During the first quarter of 2022, the Company invested an aggregate of $5.0 million in Bitcoin. The Company believes in the long-term potential of digital assets as an investment.”
— MacroScope (@MacroScope17) May 10, 2022
According to the filing, Townsquare Media’s investment in $5 million USD worth of Bitcoin happened in the first quarter of this year. The company offered that the investment, as part of future-backing, might be increased or decreased at any time depending on the market and how it moves. As per the filing:
“The Company believes in the long-term potential of digital assets as an investment. The Company may increase or decrease its holdings of digital assets at any time based on our view of market conditions.”
Institutional investment in cryptocurrency
Another notable company investing in cryptocurrency is MicroStrategy, with investment spearheaded by Bitcoin proponent Michael Saylor. MicroStrategy currently holds nearly $3 billion USD worth of Bitcoin and has expressed no signs in slowing down its Bitcoin investment.
Galaxy Digital Holdings, a crypto investment management firm, also holds crypto on its balance sheets. In the first quarter of this year, the company reportedly took a $111.7 million USD loss due to unrealized losses on its crypto portfolio. Following this news, MicroStrategy’s Saylor commented that if MicroStrategy were to suffer similar losses, the company would cover the debt – a note to assure investors that they didn’t need to worry about their funds.
Townsquare has not commented on any loss mitigation strategy in place, or whether it intends to add to its Bitcoin holdings aggressively yet.