BTCS Pays: Blockchain Company to Pay Bitcoin Dividend (Bividend)
Dividends are one of the most attractive features of the stock market, giving investors an opportunity to generate income on top of any capital gains. The industry has figured out a way to reward cryptocurrency investors with passive income opportunities too. Now the two worlds of dividends and crypto are colliding as one publicly listed company has announced plans to pay shareholders a dividend in bitcoin.
BTCS, a blockchain infrastructure company, is already a pioneer in the crypto industry after listing shares on the Nasdaq in September 2021. Now BTCS and CEO Charles Allen are becoming a first-mover as the maiden company to pay a “bividend” —a dividend distributed to shareholders in leading cryptocurrency bitcoin (BTC).
Adding to the anticipation, the company has launched a countdown to the payable date, which currently hovers at about 70 days or just over two months. This is akin to dog years in crypto given how quickly the bitcoin price can rise or fall.
Wherever the bitcoin price is trading in mid-March 2022 (the ex-dividend date) will determine how much bitcoin is equivalent to $0.05 per share, giving investors the opportunity to participate in an activity known as “stacking sats.” A satoshi, or sat, is the tiniest unit of a bitcoin that can be accumulated. Think of it like finding a penny and picking it up.
To qualify, BTCS investors must provide the company with a bitcoin wallet address, which could be obtained from a major crypto exchange like Coinbase, Kraken or Gemini, to name a few options. You don’t need to have an exchange account, however, and can also use a hardware or mobile bitcoin wallet address.
Shares of BTCS soared 40% on the day as investors piled into the stock to capture their share of the bitcoin windfall. Before the bitcoin dividend announcement, BTCS’ stock was trading at about $3 per share. Since the announcement, the stock is trading above $4 per share. Volume is strong at 26.8 million shares changing hands today compared to average trading volume of 215,312.
BTCS Stock Soars
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