Eightco Holdings, an e-commerce inventory management platform, had its stock price rise more than 3,000% in one day of trade, going from $1.45 to $45.08. The stock market rose to over $80 during the day as the business announced a breakthrough $250 million private placement to construct a treasury focused on Worldcoin.
This decision makes Eightco a leader among non-crypto companies that are using digital assets as their main reserve holdings, which has gotten a lot of people excited in the market.
The Worldcoin Treasury Plan
The company’s plan is to raise $250 million by selling 171.23 million common shares at $1.46 apiece in a private placement. The sale is scheduled to close soon. The money will mostly be used to buy Worldcoin (WLD), the cryptocurrency that goes along with Sam Altman’s biometric digital identity project.
This project uses “Orb” devices that scan users’ irises to verify their identity. Eightco also wants to keep Ether as a backup asset, which shows that more people are using blockchain technologies. Eightco will change its Nasdaq ticker from OCTO to ORBS to reflect this development. ORBS stands for “Worldcoin’s technology.”
Support From Institutions and a Change in Leadership
The campaign has received a lot of institutional support, including a $20 million investment from BitMine Immersion Technologies, which is the company that owns the most Ether. Other groups that are involved are the World Foundation, Kraken, and FalconX. This gives Eightco’s big plan more credibility.
The fact that Dan Ives, the head of tech research at Wedbush Securities, has been named chairman further shows how important it is for the corporation to combine AI and blockchain. Ives, who is notorious for making optimistic predictions about the IT sector, sees Worldcoin as a key participant in digital identification and AI-driven authentication.
Effects on The Market and The Law
The news also sent Worldcoin’s price up 49.2% to $1.54, the highest level in seven months. But the project’s biometric method has come under governmental investigation, and privacy concerns have led to prohibitions in some nations.
Eightco’s daring decision fits with a trend of non-crypto companies using digital assets, which makes some wonder about the long-term stability of the market and whether it will become too crowded. Some analysts say that Eightco’s plan is a risky bet on the merging of AI and cryptocurrencies, which might change the way companies manage their money.
The huge rise in Eightco’s stock price and the Worldcoin strategy show that more and more institutions are interested in digital assets. As the company carries out its plan, it might change the way the market works as a whole, making it a crucial player in the growing convergence of AI, blockchain, and fintech.
Source: https://financefeeds.com/
