Reports from foreign media have revealed that the Blockchain-focused BTCS has become the first Nasdaq-listed company to give investors a Bitcoin-based dividend, known as a Bividend.
The ‘Bividend’ will be paid at $0.05 per Bitcoin-owned share, based on the Bitcoin price on the date dividends are paid.
“BTCS intends to pay $0.05 per share in bitcoin, based on the bitcoin price on the ex-dividend date. Investors who do not elect to receive the Bividend in bitcoin will receive a cash dividend of $0.05.” said the company.
This is the first time a company has offered dividends in the market’s most valuable asset as a substitute for cash payments.
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BTCS provides blockchain infrastructure and helps secure proof-of-stake blockchains through native staking of crypto assets, making it the first ‘Pure Play’ US publicly-traded firm focused on blockchain technologies.
The company is also reportedly working on a proprietary ‘staking-as-a-service’ platform that will allow users to stake supported coins on a non-custodial basis.
BTCS is now running nodes on the Ethereum 2.0 network, with intentions to expand to other “disruptive” blockchains in the future, including Solana, Polkadot, Cosmos, Cardano, Polygon, and Algorand.
Speaking about the development the Chief Executive Officer of BTCS, Charles Allen, said:
“We want to reward our long-time shareholders for their continued support and encourage financial freedom by providing the means to enable direct ownership of Bitcoin and other digital assets,”
“In the crypto space, BTCS has a long history of firsts, including being the first pure-play US public company focused on cryptocurrencies and blockchains, the first US public company to mine Bitcoin and the first US public company to secure next-generation proof-of-stake blockchains.”
Allen maintained that it is an “excellent time to reward their (our) shareholders with a non-taxable return-of-capital Bividend” due to the company’s better financial position.