Bitcoin-powered gold deal is hitting the headlines as Panther Metals is one of the first UK mining companies to employ crypto in a major takeover.
The company will invest 4 million pounds (approximately $5.4 m) in Bitcoin treasury.
Out of that, the purchase of the Pick Lake gold and mineral project in Ontario, Canada will be backed with the equivalent of £1.3 m in BTC.
Darren Hazelwood, the CEO, says this action will enable Panther to expand its portfolio without diluting the shareholder value.
Another reason why he thinks Bitcoin provides strategic leverage is that he is fully exposed to the digital asset.
The company also has an eye on the Winston Project that is full of zinc, copper, gold and silver.
It is a hybrid model of investment, which combines hard assets and digital currency, as Michael Saylor of MicroStrategy does.
After the news, the share of Panther Metals went up by 21% in a single day.
It has now increased by more than 125% in the last month.
This indicates that investors have a lot of faith in this ambitious crypto-funded strategy.
Such a Bitcoin-based gold transaction may prove to be a game-changer.
It is possible that other mining companies will be considering crypto-backed acquisitions in the future.
