QMMM Holdings shares surged after the Hong Kong-based digital advertising firm said it would create a $100 million digital assets treasury that will initially hold Bitcoin, Ethereum and Solana. The announcement sparked an intraday rally of over 2,300%, with the stock closing at $207 — a 1,736% jump from the opening bell before retracing to $156.31 in after-hours trading.
CEO Bun Kwai framed the move as a response to the accelerating adoption of digital assets and blockchain technology, saying QMMM aims to “bridge the digital economy with real-world applications.” The company said the treasury will also seed investments in Web3 infrastructure, “high-quality cryptocurrency assets,” and global equities aligned to its strategy.
Key questions remain. An SEC filing from January shows QMMM held only $497,993 in cash and equivalents at the end of its last fiscal year and posted a net loss of $1,580,198. The firm has not disclosed how it plans to fund the proposed $100 million program, and a company representative did not immediately provide further details.
Investors should note that the sharp share move reflects market reaction to an announcement rather than concrete funding or portfolio activity. The situation highlights two risks: potential corporate governance or financing gaps, and the volatility that can follow crypto-related declarations.
Whether QMMM follows through will affect perceptions of corporate crypto adoption beyond traditional finance firms. For now, the plan signals rising interest from unconventional corporate issuers but leaves open important questions about execution and transparency.
Source: Decrypt. Read the original coverage for full details.