- BTCS offers shareholders Ethereum dividends amid stock surge.
- CEO Charles Allen supports shareholder rewards in ETH.
- Shareholder loyalty program reduces short-selling opportunities.
BTCS Inc. announced on social media its Ethereum dividend of $0.40 per share, leading to a 10 percent surge in stock value.
This marks the first Ethereum-based dividend, positioning Ethereum as a unique shareholder return vehicle and impacting its valuation.
BTCS Inc. announced a unique corporate decision to distribute Ethereum (ETH) dividends to its shareholders. This move, highlighted on official platforms like the BTCS website, resulted in a 10% stock increase on the announcement day.
Charles Allen, the CEO of BTCS, oversees the dividend initiative, asserting it supports shareholder value and combats market manipulation. The plan involves a $0.40 per share dividend, consisting of a $0.05 Bividend and $0.35 Loyalty Payment.
“This initiative both rewards our long-term shareholders and combats market manipulation, ensuring the company’s growth is reflected in the share price rather than being diluted.”
The stock surge reflects positive market reaction from this initiative. Meanwhile, some analysts see potential long-term benefits, with ETH’s past four-month price increase partially driven by treasury accumulation efforts.
BTCS’s approach as a publicly traded company using Ethereum for dividends underscores a significant development in digital asset markets. The decision excludes BTCS officers and employees, incentivizing direct shareholder loyalty and Ethereum adoption.
The move may stimulate trends toward blockchain-based dividends, aligning companies with digital asset growth. Regulatory perspectives remain undiscussed by authorities, although BTCS emphasizes transparency and investor engagement across its platforms.
