Allied Gaming & Entertainment, a Nasdaq-listed esports company, invested in Bitcoin and Ethereum for a new treasury strategy, boosting its stock by 105% to $1.87 before settling at $1.65. The company plans to expand its use of blockchain and hinted at real-world asset initiatives.

CEO Yangyang James Li sees cryptocurrency as essential for the company’s future, integrating blockchain and digital assets. Allied Gaming & Entertainment focuses on entertainment in the esports scene, owning the HyperX Esports Arena in Las Vegas and hosting major events like the League of Legends All-Stars match.

The company’s exact Bitcoin and Ethereum investments remain undisclosed, sparking interest and speculation. Allied Gaming & Entertainment looks to incorporate crypto payments, tokenization models, stablecoins, and utility tokens in its digital ecosystem. This move follows a trend of publicly traded companies embracing crypto in the U.S.

SharpLink Gaming and BitMine Immersion Technologies lead as Ethereum treasury companies, holding significant amounts of ETH. The rise of treasury companies extends beyond big players like MicroStrategy, with Dogecoin, Solana, XRP, and Sui also joining the trend. Concerns exist over this growing trend affecting the crypto market’s stability.

SharpLink Gaming’s co-CEO believes the Ethereum treasury push will educate institutional investors about cryptocurrency, serving as a positive “white swan” event. The influx of treasury companies embracing crypto, including Allied Gaming & Entertainment, reflects a broader shift toward digital assets in the business world.

Read more at Yahoo Finance: Esports Firm’s Stock Price Doubles After Bitcoin, Ethereum Treasury Investment