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- Metromile, a San Francisco-based technology startup, has purchased Bitcoin with 10% of the cash it previously stated will be committed to cryptocurrency (BTC)
- Metromile had $202.6 million in cash and cash equivalents as of June 30, according to its financial report for the second quarter of 2021, meaning that its Bitcoin investment represented for around 0.5 percent of total capital
- Metromile said in the second quarter of 2021 that the number of insurance in effect had remained roughly flat compared to the first quarter due to industry-wide unanticipated regulatory delays
Metromile, a San Francisco-based technology startup, has purchased Bitcoin with 10% of the cash it previously stated will be committed to cryptocurrency (BTC). Metromile acknowledged buying $1 million in Bitcoin in June, according to a filing with the US Securities and Exchange Commission, or SEC, on Tuesday. The corporation, on the other hand, lost $100,000 on the initial crypto purchase, owning about $900,000 in Bitcoin as of June 30, or 25.6 BTC at the time.
According to Metromile’s financial report for the second quarter of 2021, the firm had $202.6 million in cash and cash equivalents as of June 30, implying that its Bitcoin investment accounted for about 0.5 percent of total capital. Some experts recommend investing between 1% and 3% of one’s net worth in cryptocurrency. The SEC filing comes after the company said in May that it planned to invest $10 million in Bitcoin in the second quarter of 2021. Metromile said at the time that its policyholders would be able to pay for its services and get compensation from claims in Bitcoin. Metromile provides pay-per-mile car insurance.
Metromile said in the second quarter of 2021 that the number of insurance in effect had remained roughly flat compared to the first quarter due to industry-wide unanticipated regulatory delays. The firm’s insurance revenue, on the other hand, climbed by more than 22% over the same period previous year. Metromile stock, which trades on the Nasdaq under the ticker MILE, fell dramatically on Monday after staying above $7.00 since May. The price has dropped about 25% in the last two days, from $6.97 to $5.24 at the time of publication, putting its market valuation at $660 million.
Andrew is a blockchain developer who developed his interest in cryptocurrencies while pursuing his post-graduation major in blockchain development. He is a keen observer of details and shares his passion for writing, along with coding. His backend knowledge about blockchain helps him give a unique perspective to his writing skills, and a reliable craft at explaining the concepts such as blockchain programming, languages and token minting. He also frequently shares technical details and performance indicators of ICOs and IDOs.
