#Bitcoin Reserve Bill   Brazilian FinTech Firm Becomes One of the Largest Bitcoin Holders

Brazilian firm Méliuz has become the largest institutional Bitcoin holder in Latin America after a $28.6 million purchase. The company bought BTC at a price of $103,864, so its investment has already grown.

However, there are growing concerns about the number of businesses like Méliuz that have recently gone all-in on cryptocurrency. Despite its benefits, it’s a risky move, and participating companies may not be able to withstand the volatility.

Méliuz Rises in the Bitcoin Holding Rankings

Institutional Bitcoin purchases have been a growing trend over the past few months, with many firms following in MicroStrategy’s footsteps.

Yet despite its global appeal, most of the largest firms are based in the US. However, Méliuz’s latest purchase is interesting because the firm is now the largest institutional Bitcoin holder in Latin America:

“There is no public company in Latin America that owns more Bitcoin than Méliuz! After delivering a 44% return to our shareholders in the last 36 days, we now own almost 600 BTC. We bought R$158 million ($28.7 million) by issuing new shares and we’re just getting started!” the firm stated on social media.

Méliuz also proudly announced today that it has purchased more Bitcoin than MicroStrategy.

According to the firm’s full press release, it purchased this BTC at an average price of $103,864, so its investment has already appreciated. After weeks of consistent purchases, its overall average price is $102,702.

Méliuz is now the largest institutional Bitcoin holder in Latin America and the 36th largest holder globally.

The firm, which originally operated as a cashback and discount coupon for online and in-store purchases, has transformed into a Bitcoin-focused company, part of a global phenomenon.

However, there are growing concerns about this trend. How many institutional owners like Méliuz can Bitcoin really handle?

Earlier today, Anthony Pompliano announced a $1 billion merger and the creation of a new firm that will offer “Bitcoin-focused financial services.” While the community is excited, speculation about a bubble is growing and the firm’s shares are down 24%:

In general, economic experts are extremely concerned that many companies around the world are moving towards a Bitcoin-focused strategy.

During times of macroeconomic distress, the extreme volatility of the cryptocurrency market and the volatile economics of the traditional market can seriously affect companies trying to balance both boats.