Benzinga | Mar 8, 2021 09:41AM EST

Beyond Bitcoin: China's Publicly-Listed Beauty App Meitu Buys $22M Ethereum

Fujian-based beauty app Meitu, which is publicly listed in Hong Kong, said it has purchased 15,000 units of Ethereum (ETH) on Sunday.

What Happened: The company's cryptocurrency purchase is worth $25.98 million as of press time, when ETH traded 4.28% higher at $1727.92.

Additionally, the company said it also purchased 379.1214267 units of Bitcoin (CRYPTO: BTC), worth $18.96 million, as of press time when BTC traded 1.43% higher at $50,011.39.

Meitu's ETH and BTC purchases were made at an aggregate consideration of nearly US$22.1 million and US$17.9 million respectively.

See also: How to Buy Bitcoin (BTC)

Why It Matters: ETH could be headed for another sharp price spike as developers have agreed to move ahead with an update that would lead to a reduction in the number of tokens in use.

Meitu can make a net purchase of up to $100 million worth of cryptocurrencies under an investment plan previously approved by its board of directors, the company said.

Meitu's ETH investment marks for the first time, a publicly-listed company has announced a major purchase of the second-largest cryptocurrency by market cap, reported CoinDesk.

Previously, some large companies have announced BTC investments.

In February, Jack Dorsey-led Square Inc (NYSE:SQ) bought 3,318 BTC worth $170 million after first pumping in $50 million into BTC last October.

See also: How to Buy Ethereum (ETH)

Elon Musk's Tesla Inc (NASDAQ:TSLA) also purchased $1.5 billion worth of BTC.

The biggest bull among listed companies so far has been Michael Saylor's MicroStrategy Incorporated (NASDAQ:MSTR), which owns 90,531 BTC, as of late February, acquired at an average purchase price of $2.171 billion.