Blockmate launches bitcoin treasury division with initial purchase

Blockmate Ventures Inc. (TSX.V: MATE) (OTCQB: MATEF) announced the launch of a bitcoin treasury division with secure wallet infrastructure and an initial purchase of one bitcoin, according to a company statement.

The Toronto-based blockchain venture builder said the division aligns with its long-term strategy of holding bitcoin as a treasury asset. The initiative complements operations at wholly owned subsidiary Blockmate Mining, which pursues a "mine-and-hold" strategy to accumulate bitcoin on its balance sheet.

Blockmate Mining secured a site in May with electricity costs of $0.033 per kilowatt-hour. The facility could support up to 200 megawatts of mining infrastructure when fully developed, though the company does not currently own mining hardware to utilize this capacity.

Under current market conditions, a fully utilized 200MW site could generate approximately 200 bitcoin per month and support mining at an estimated 40% discount to spot prices, the company stated. These projections are subject to changes in network conditions, hardware availability, electricity pricing and bitcoin market prices.

"Holding Bitcoin on Blockmate's balance sheet provides capital growth opportunities for shareholders, as well as liquidity options should Blockmate Mining or future investees seek to take advantage of elevated Bitcoin market prices," said CEO Justin Rosenberg.

The company noted that bitcoin prices are highly volatile and holdings are subject to market risk that could lead to financial loss. Planned bitcoin acquisitions are under review and will be disclosed through the TSX Venture Exchange.

Blockmate operates as a blockchain and Web3 venture builder with a portfolio including decentralized computing platform Hivello and mining operations.

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