Hoth Therapeutics allocates $1M to Bitcoin for reserves

Hoth Therapeutics, a clinical-stage biopharmaceutical company, has allocated $1 million to Bitcoin as a treasury reserve asset, reflecting a growing trend among businesses leveraging Bitcoin (CRYPTO:BTC) for its potential as a store of value and hedge against inflation.

This decision, approved by the company’s board of directors, aligns with increasing investor interest in Bitcoin, particularly after recent political developments in the United States.

Hoth CEO Robb Knie cited Bitcoin exchange-traded fund (ETF) approvals and heightened market activity as key factors influencing the move.

“We believe its inflation-resistant characteristics may make it a reliable asset as a functional store of value,” Knie stated.

The allocation underscores a broader shift among businesses recognising Bitcoin’s strategic role in modern finance.

U.S. Senator Cynthia Lummis has also proposed a similar approach, advocating for the U.S. Treasury to consider converting part of its gold reserves into Bitcoin.

On November 14, Lummis suggested this would establish a crypto strategic reserve while maintaining a neutral government balance sheet.

Public figures like Robert F. Kennedy Jr. have further highlighted Bitcoin’s appeal, with Kennedy recently revealing that most of his wealth is invested in the cryptocurrency.

These endorsements reinforce Bitcoin's growing reputation as a viable financial asset.

The rising adoption of Bitcoin by companies like Hoth Therapeutics, combined with support from public officials, highlights its increasing acceptance as a treasury reserve asset.

This trend may strengthen Bitcoin’s role in financial strategies across public and private sectors as organisations seek alternatives to traditional reserve assets.

At the time of reporting, the Bitcoin (BTC) price was $96,838.85.