Here’s Just how much Cash OnlyFans Lost on Its ETH Financial Investment

OnlyFans’ moms and dad business, Fenix International, just recently submitted an accounting declaration for 2022, which exposes that the business invested part of its operating capital into ETH.

Although the company didn’t expose just how much Ether it held, it did indicate that it had actually sustained a loss at the end of the reporting duration (November 2022).

OnlyFans Sees 21% Boost in Revenues Regardless Of Making a Loss on ETH

Fenix International is the owner of the digital membership service OnlyFans, a platform generally connected with adult video material.

In a current monetary declaration submitted with Business Home in the UK, the company reported that:

” Throughout the year, the Group varied part of its operating capital into cryptocurrency (” Ethereum” or “ETH”). There are no constraints or limitations on the Group’s capability to offer the cryptocurrency properties. “

The declaration does not provide a breakdown of Fenix’s holdings or expose the precise worth of its crypto financial investment. Nevertheless, it does state that “the possession has actually suffered to its reasonable worth as at the year-end.”

This recommends that the OnlyFans ETH deserved less at the end of November than when it was acquired. This is barely unexpected, nevertheless. In the 365-day duration covered by the current filing, ETH lost over 70% of its worth, falling from $4,448 to $1,217.

Yet for the OnlyFans owner, losing cash on Ethereum appears to have actually done little to damage its income.

In general, sales for the year increased 17% to $1.1 billion. On the other hand, the business signed up pre-tax revenues of $525 million, a 21% boost from the previous year.

However why is a business whose main organization is adult content streaming investing in crypto in the very first location?

Why work Buy Crypto?

Aside from specialized financial investment companies and hedge funds, numerous business have actually integrated cryptocurrencies into their financial investment portfolios.

One notable example is Tesla, which turned into one of the very first household-name organizations to hold Bitcoin in its business treasury back in 2021.

The car manufacturer then discarded three-quarters of its BTC in the 2nd quarter of 2022. And provided the possession’s rocky rate efficiency in the year’s 2nd half, that was most likely a wise relocation. A January filing with the Securities and Exchange Commission (SEC) exposes that Tesla tape-recorded a $204 million loss on its Bitcoin holdings throughout 2022.

However CEO Elon Musk has actually made clear of his faith in crypto. As he discussed in 2015, Tesla is “definitely available to increasing [its] Bitcoin holdings in the future,” and he firmly insisted that the choice to offer “need to not be taken as some decision on Bitcoin.”

Other business that have actually made prominent crypto financial investments consist of the American software application business MicroStrategy and the Chinese digital innovation giant Meitu.

MicroStrategy initially began buying crypto in 2020, when it acquired $250 million worth of Bitcoin. At the time, CEO Michael J. Saylor discussed the reasoning behind the company’s choice:

” Our financial investment in Bitcoin belongs to our brand-new capital allotment technique, which looks for to take full advantage of long-lasting worth for our investors. This financial investment shows our belief that Bitcoin, as the world’s most widely-adopted cryptocurrency, is a reputable shop of worth and an appealing financial investment possession with more long-lasting gratitude capacity than holding money.”

Ever Since, the business has actually gone on to turn into one of the biggest business Bitcoin holders on the planet. It now has over 150,000 Bitcoin, worth around $3.91 billion at present costs.

As an outcome of a BTC rate crash previously this month, MicroStrategy docked an eye-watering loss of $600 million on the worth of its financial investments. Nevertheless, the company hasn’t signified any objective to decrease its position.

Meitu, on the other hand, has actually preferred ETH as a treasury financial investment. In its yearly report for 2022, the company reported Ether holdings valued at $37.3 million and Bitcoin worth $15.6 million. Accounting for market gains ever since, Meitu might presently be resting on over $50 million worth of ETH alone.