Key Notes
- The partnership allocates VCI Global a 70% management stake while the partner retains custody of the substantial Bitcoin reserves.
- QuantVault platform will store the cryptocurrency using hardware encryption and quantum-resistant security measures for institutional protection.
- VCIG shares surged 17.6% following the announcement despite accumulating 99.98% losses since its April 2023 NASDAQ debut.
The company will manage commercialization with a 70% stake, while its partner maintains custody of the Bitcoin reserves. Focus areas include tokenizing real-world assets, offering vault services, and linking encrypted systems with AI computing.
According to VCI Global’s announcement, the Bitcoin will be stored in QuantVault, a platform with hardware encryption and quantum-resilient features, addressing some growing concerns about quantum computing and cryptocurrency security. This setup aims to support governments and institutions with secure digital frameworks.
The initiative builds on VCI Global’s work in cybersecurity and AI, including recent launches like Qsecore and its V Gallant division for GPU hardware. Dato’ Victor Hoo, group executive chairman and CEO, indicated the partnership helps build secure, scalable digital asset systems aligned with regulations.
“This partnership is a significant step toward making Bitcoin infrastructure sovereign-compliant and RWA-ready. By integrating encrypted vaulting, sovereign-grade computing, and Bitcoin reserves, we are building the foundation for a new generation of institutional-grade digital asset ecosystems that are secure, scalable, and regulation-aligned,” said Victor Hoo.
With Bitcoin’s market cap exceeding $2.25 trillion at the time of this writing, according to CoinMarketCap data, this positions VCI Global among Nasdaq-listed firms combining large Bitcoin holdings with advanced infrastructure.
VCI Global (NASDAQ:VCIG) Price Analysis
VCI Global (NASDAQ:VCIG) shares were trading at $1.02 by press time, up 17.6% intraday, following the announcement. However, VCIG has been struggling in price performance since its NASDAQ listing, accumulating 99.98% in losses from April 13, 2023, to its current valuation.
From a technical analysis perspective, the stock has been trading in a neutral-to-bearish momentum, according to the daily relative strength index (RSI), and its trend is consistently far below the 50-day exponential moving average (1D50EMA).
VCI Global (NASDAQ:VCIG) 1D historical price chart | Source: TradingView
Historically, companies like former MicroStrategy, now Strategy (NASDAQ:MSTR), have used a Bitcoin reserve strategy as a way to regain market interest and positive price action, betting on Bitcoin’s success against the dollar and other traditional assets.
On a similar note, BitMine went a step further, announcing an Ethereum-based treasury reserve, also seeing positive price action post-announcement. Brevan Howard, one of the world’s largest hedge funds, recently disclosed a significant allocation in BlackRock’s Bitcoin ETF (IBIT), accounting for 21% of the fund’s portfolio. This is another testimony to growing institutional interest in the leading cryptocurrency.
Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.
Vini Barbosa has covered the crypto industry professionally since 2020, summing up to over 10,000 hours of research, writing, and editing related content for media outlets and key industry players. Vini is an active commentator and a heavy user of the technology, truly believing in its revolutionary potential. Topics of interest include blockchain, open-source software, decentralized finance, and real-world utility.
