KULR Technology Group Increases Bitcoin Holdings to $50 Million

KULR Technology Group, Inc., a company specializing in energy storage solutions for aerospace, defense, and space exploration, has expanded its Bitcoin holdings to $50 million.

KULR Technology Group ( $KULR ) strengthens its Bitcoin Treasury Strategy with an additional $8M in $BTC purchases, totaling $50M and 510 BTC. With its bold commitment of 90% of surplus cash reserves to #Bitcoin, see how KULR is paving the way for innovation and strategic growth! pic.twitter.com/5cmPfvQox4
— KULR Technology (@KULRTech) January 21, 2025

The latest acquisition of $8 million was made at an average price of $101,695 per Bitcoin, bringing the company’s total reserves to 510 Bitcoin.

This move follows KULR’s December 2024 announcement to allocate up to 90% of its surplus cash reserves to Bitcoin as part of its Bitcoin Treasury Strategy.

The company views this as a diversification of its cash holdings, aligning with broader trends of corporations adopting Bitcoin as a hedge against inflation or a store of value.

To measure the impact of its Bitcoin acquisitions, KULR uses a performance metric called “BTC Yield.”

This key performance indicator (KPI) tracks the percentage change in the company’s Bitcoin holdings relative to its fully diluted shares outstanding.

KULR has reported a year-to-date BTC Yield of 127%, attributing this growth to a combination of surplus cash and equity fundraising through its At-The-Market (ATM) equity program.

However, BTC Yield has limitations. It is not a traditional financial performance measure and does not reflect liquidity, liabilities, or operational profitability.

KULR cautions investors to consider it only as a supplementary metric, noting that its stock price is influenced by factors beyond Bitcoin holdings.

KULR’s decision to allocate a significant portion of its treasury to Bitcoin is notable for a company primarily focused on energy management solutions for aerospace and defense sectors.

KULR’s adoption of Bitcoin reflects a growing trend among corporations exploring unconventional asset management strategies.

Similar approaches by companies like MicroStrategy and Tesla have demonstrated the rising popularity of Bitcoin in corporate treasury management, though the degree of allocation and underlying motivations vary.