Next Technology (NXTT) Shares Soar After Company Reports Bitcoin Holdings Jumped

Shares of Next Technology Holding (NXTT) took off for a second straight session Monday after the software services provider and bitcoin buyer reported its holdings of the cryptocurrency jumped.

Key Takeaways:

Shares of Next Technology (NXTT) rose on Monday for a second straight session as the software services provider and bitcoin buyer reported a sharp increase in its cryptocurrency holdings.

Next Technology said in a regulatory filing last week that it now holds 5,833 bitcoin, 5,000 of which were bought since the end of last year. The company said the value of its bitcoin portfolio as of March 31 was $481.7 million, while it paid $183.1 million to purchase them.

The company noted that it considers its bitcoin investments to be “long-term holdings” and it expects to continue acquiring them. It added that it has “not set any specific target” for the number of bitcoin it seeks to hold and will “continue to monitor market conditions in determining whether to engage in additional financings” to make more purchases.

Firm Says Bitcoin Has 'Potential to Serve as a Hedge Against Inflation'

Next Technology explained that bitcoin “presents the opportunity for appreciation in value if its adoption increases and has the potential to serve as a hedge against inflation in the long-term.”

The news sent Next Technology shares up 661% on Friday, and they were seen rising another 47% in Monday's morning trade. They're also being powered by the recent stellar price action in bitcoin, which saw the cryptocurrency's price climb above $104,000. Today's move brought the stock out of the red and into the black for 2024.

Another company whose shares are seeing a large gain because of bitcoin-related news is Kindly MD (KDLY), shares of which surged 380% on Monday to $18.99 after it announced a merger with bitcoin-native holding company Nakamoto Holdings to launch a bitcoin treasury strategy.

Named after the pseudonymous creator of bitcoin, Satoshi Nakamoto, the company was founded by a key cryptocurrency advisor to President Donald Trump, David Bailey, who is also the former chairman of the Benelli motorcycle company.