Update (1:00 pm UTC): This article has been updated to include a comment from Altvest Capital CEO Warren Wheatley.
South African investment company Altvest Capital is the latest firm to jump on the Bitcoin bandwagon by announcing its first investment in BTC.
Altvest, on Feb. 21, announced its entry into the Bitcoin (BTC) market “with a focused strategy that does not currently include other cryptocurrencies.”
Source: Altvest Capital
Altvest’s entry into Bitcoin began with the small purchase of one BTC, Altvest CEO Warren Wheatley told Cointelegraph, while highlighting potential concerns by regulators.
“We have applied to the regulators to have BTC-linked equity instruments listed,” he added.
“Bitcoin is fundamentally different from other digital assets”
Bitcoin offers long-term growth potential while also providing a hedge against macroeconomic threats such as the depreciation of South Africa’s fiat currency, the South African Rand, the company said.
Altvest emphasized that it sees Bitcoin as the only digital asset meeting its strict investment criteria for a long-term treasury allocation.
“Bitcoin is fundamentally different from other digital assets,” Altvest CEO Warren Wheatley said, adding:
“It is the only truly decentralized, scarce, and globally recognized digital asset that aligns with Altvest’s investment philosophy. We see Bitcoin as a strategic reserve asset that enhances our treasury portfolio while providing a hedge against economic instability and currency depreciation.”
The firm highlighted that it remains exclusively focused on Bitcoin and has no plans to invest in alternative cryptocurrencies or altcoins.
Why is Altvest skeptical about altcoins?
Altvest’s careful approach to altcoins aligns with its current conclusion that many digital assets — except for Bitcoin — do not align with its investment philosophy for several reasons.
Among altcoin-associated concerns, Altvest mentioned risks of supply mechanisms being inflationary or controlled by central entities, dependence on centralized governance structures, varying levels of liquidity and market maturity, as well as regulatory uncertainty.
Altvest’s reasons for not adopting altcoins as part of its Bitcoin strategy. Source: Altvest
Despite focusing on BTC, Altvest will continue to assess market conditions and technological advancements in the altcoin space, the company said.
Related: Strategy’s Michael Saylor says the US should aim to hold 20% of Bitcoin
Altvest’s remarks on a Bitcoin strategy versus an altcoin strategy come as the US makes moves toward adopting a digital asset stockpile instead of a Bitcoin-only reserve.
This raised concerns in the Bitcoin community about US President Donald Trump’s consideration of a reserve comprising US-based cryptocurrencies, with some even accusing Ripple of lobbying for a diversified approach.
Altvest CEO expects Rwanda or Kenya to follow suit
“We are the first ‘publicly traded, listed company in Africa.’ I’m pretty sure many privately held companies invest aggressively in BTC,” the Altvest CEO told Cointelegraph.
Wheatley also noted that the company plans to invest as much of its profits as possible. “The next step, though, is to raise more capital through a new issuance to buy more BTC,” he added.
Addressing a question on whether he expects more public firms in African countries to follow in the steps of Altvest, Wheatley stated:
“I expect companies from Rwanda or Kenya to follow suit. These are tech savy countries and usually early adopters of tech solutions.”
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