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Chinese Giant Meitu Receives ETH Profits of RMB 425.6 Million, Loses Funds on Bitcoin

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Wed, 03/30/2022 - 12:12
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Yuri Molchan
Meitu saw a 39.5% income increase by the end of 2021, thanks to their Ethereum investment, and lost money on Bitcoin
Chinese Giant Meitu Receives ETH Profits of RMB 425.6 Million, Loses Funds on Bitcoin
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Chinese crypto journalist Colin Wu, who covers everything to do with blockchain and crypto, has shared an article from a Chinese media outlet, saying that the Chinese behemoth Meitu has made massive profits on Ethereum and lost money on Bitcoin.

As per the data disclosed by the company, by the end of 2021, they had earned 425.6 million yuan on the second largest cryptocurrency.

Meitu invests in Bitcoin and Ethereum

In March of last year, Chinese publicly-traded company Meitu, a fintech giant, announced that it had invested in the two biggest digital currencies, Bitcoin and Ethereum, putting $22.1 million in BTC and buying $17.9 million worth of ETH.

Meitu is the producer of a popular photo app that boasts a user base of 456 million clients. It was the first publicly traded company in China that chose to invest in cryptocurrencies, considering the anti-crypto environment that has been dominant in the country since September 2017, when the first crypto ban was imposed.

It was followed by the work of the Chinese central bank on its own CBDC (known as DCEP), and a ban on crypto mining and cryptocurrency operations in September 2021, which made multiple mining pools and exchanges flee the country to the U.S. and Kazakhstan.

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ETH investment brings $67 million

According to the report disclosed by the company, as of Dec. 31, the value of the purchased Ethereum had soared by 425.6 million yuan, which is the equivalent of $67 million.

As for Bitcoin, the company's investment in digital gold has depreciated by 28.5 million RMB: $4,486,886.

In 2021, Ethereum soared to an all-time high above $4,000 in May. Later on, after going back under that level, ETH reached a new historic peak, hitting $4,891 on Nov. 16.

Ethereum dropped back below $4,000 in December, went below $3,000 and has only managed to recover the latter recently.

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About the author

Yuri is a crypto journalist interested in technology and technical innovations. He has been in crypto since 2017. Believes that blockchain and cryptocurrencies have a potential to transform the world in the future in many of its aspects. ‘Hodls’ major cryptocurrencies and has written for multiple crypto media outlets. 

His articles have been quoted by such crypto influencers as Tyler Winklevoss, John McAfee, CZ Binance, Max Keiser, etc.

Currently Yuri is a news writer at U.Today and can be contacted at yuri.molchan@u.today.