The post David Beckham backed firm abandons Bitcoin treasury play appeared on BitcoinEthereumNews.com. A healthcare business backed by David Beckham that began The post David Beckham backed firm abandons Bitcoin treasury play appeared on BitcoinEthereumNews.com. A healthcare business backed by David Beckham that began

David Beckham backed firm abandons Bitcoin treasury play

A healthcare business backed by David Beckham that began purchasing Bitcoin this year has pulled back from that plan as cryptocurrency values drop.

Prenetics announced Tuesday it stopped acquiring Bitcoin on Dec. 4. The company will now concentrate its efforts on IM8, a vitamin and supplement line created with former England soccer star David Beckham. Beckham also holds an investment stake in Prenetics, the company’s website shows.

“We are making disciplined strategic decisions that reflect our experience as operators and our commitment to maximizing long-term shareholder value,” said Danny Yeung, who leads Prenetics as chief executive officer.

The company started its Bitcoin buying program in June. It followed an approach created by Michael Saylor’s Strategy Inc. These businesses, called digital asset treasury firms, collect money to purchase cryptocurrencies.

Company keeps remaining Bitcoin holdings

This plan gained popularity in early 2025 when prices climbed higher, but interest dropped after the crypto market fell in October. Many company leaders shifted their approach as Bitcoin prices declined and their stock values tumbled.

When Prenetics revealed its Bitcoin plan in June, Yeung expressed enthusiasm about the “convergence we’re witnessing between healthcare innovation and blockchain technology,” describing it as “the dawn of a new era.”

The company plans to keep its existing 510 Bitcoin, valued at $44.8 million on Tuesday.

The Bitcoin treasury approach appears to be struggling

Companies built to stockpile digital currencies have faced one setback after another in recent months. Their stock values dropped below the worth of the cryptocurrencies they own. Several firms started buying back their own shares, with some even selling their digital tokens to pay for those purchases.

The troubles have attracted activist investors, including Paul Glazer, known in financial circles as the “True King of SPACs.”

What started as a force pushing crypto prices higher has turned into something dragging them down. Even Strategy, the company that pioneered this approach, faces mounting challenges. Bitcoin’s sharp drop in November created stress for the preferred stock that Strategy sold to finance its purchases.

The price advantages these companies once enjoyed have nearly disappeared, according to data from Artemis. In the past, investors paid extra to buy shares in these firms compared to the value of their actual crypto holdings. That premium has now evaporated.

Investors and crypto traders are now trying to figure out what happens next, especially since these companies have become important indicators of market mood.

Get up to $30,050 in trading rewards when you join Bybit today

Source: https://www.cryptopolitan.com/david-beckham-backed-firm-abandons-bitcoin-treasury-play/

Market Opportunity
PlaysOut Logo
PlaysOut Price(PLAY)
$0.05199
$0.05199$0.05199
-0.19%
USD
PlaysOut (PLAY) Live Price Chart
Disclaimer: The articles reposted on this site are sourced from public platforms and are provided for informational purposes only. They do not necessarily reflect the views of MEXC. All rights remain with the original authors. If you believe any content infringes on third-party rights, please contact service@support.mexc.com for removal. MEXC makes no guarantees regarding the accuracy, completeness, or timeliness of the content and is not responsible for any actions taken based on the information provided. The content does not constitute financial, legal, or other professional advice, nor should it be considered a recommendation or endorsement by MEXC.

You May Also Like

Crucial ETH Unstaking Period: Vitalik Buterin’s Unwavering Defense for Network Security

Crucial ETH Unstaking Period: Vitalik Buterin’s Unwavering Defense for Network Security

BitcoinWorld Crucial ETH Unstaking Period: Vitalik Buterin’s Unwavering Defense for Network Security Ever wondered why withdrawing your staked Ethereum (ETH) isn’t an instant process? It’s a question that often sparks debate within the crypto community. Ethereum founder Vitalik Buterin recently stepped forward to defend the network’s approximately 45-day ETH unstaking period, asserting its crucial role in safeguarding the network’s integrity. This lengthy waiting time, while sometimes seen as an inconvenience, is a deliberate design choice with profound implications for security. Why is the ETH Unstaking Period a Vital Security Measure? Vitalik Buterin’s defense comes amidst comparisons to other networks, like Solana, which boast significantly shorter unstaking times. He drew a compelling parallel to military operations, explaining that an army cannot function effectively if its soldiers can simply abandon their posts at a moment’s notice. Similarly, a blockchain network requires a stable and committed validator set to maintain its security. The current ETH unstaking period isn’t merely an arbitrary delay. It acts as a critical buffer, providing the network with sufficient time to detect and respond to potential malicious activities. If validators could instantly exit, it would open doors for sophisticated attacks, jeopardizing the entire system. Currently, Ethereum boasts over one million active validators, collectively staking approximately 35.6 million ETH, representing about 30% of the total supply. This massive commitment underpins the network’s robust security model, and the unstaking period helps preserve this stability. Network Security: Ethereum’s Paramount Concern A shorter ETH unstaking period might seem appealing for liquidity, but it introduces significant risks. Imagine a scenario where a large number of validators, potentially colluding, could quickly withdraw their stake after committing a malicious act. Without a substantial delay, the network would have limited time to penalize them or mitigate the damage. This “exit queue” mechanism is designed to prevent sudden validator exodus, which could lead to: Reduced decentralization: A rapid drop in active validators could concentrate power among fewer participants. Increased vulnerability to attacks: A smaller, less stable validator set is easier to compromise. Network instability: Frequent and unpredictable changes in validator numbers can lead to performance issues and consensus failures. Therefore, the extended period is not a bug; it’s a feature. It’s a calculated trade-off between immediate liquidity for stakers and the foundational security of the entire Ethereum ecosystem. Ethereum vs. Solana: Different Approaches to Unstaking When discussing the ETH unstaking period, many point to networks like Solana, which offers a much quicker two-day unstaking process. While this might seem like an advantage for stakers seeking rapid access to their funds, it reflects fundamental differences in network architecture and security philosophies. Solana’s design prioritizes speed and immediate liquidity, often relying on different consensus mechanisms and validator economics to manage security risks. Ethereum, on the other hand, with its proof-of-stake evolution from proof-of-work, has adopted a more cautious approach to ensure its transition and long-term stability are uncompromised. Each network makes design choices based on its unique goals and threat models. Ethereum’s substantial value and its role as a foundational layer for countless dApps necessitate an extremely robust security posture, making the current unstaking duration a deliberate and necessary component. What Does the ETH Unstaking Period Mean for Stakers? For individuals and institutions staking ETH, understanding the ETH unstaking period is crucial for managing expectations and investment strategies. It means that while staking offers attractive rewards, it also comes with a commitment to the network’s long-term health. Here are key considerations for stakers: Liquidity Planning: Stakers should view their staked ETH as a longer-term commitment, not immediately liquid capital. Risk Management: The delay inherently reduces the ability to react quickly to market volatility with staked assets. Network Contribution: By participating, stakers contribute directly to the security and decentralization of Ethereum, reinforcing its value proposition. While the current waiting period may not be “optimal” in every sense, as Buterin acknowledged, simply shortening it without addressing the underlying security implications would be a dangerous gamble for the network’s reliability. In conclusion, Vitalik Buterin’s defense of the lengthy ETH unstaking period underscores a fundamental principle: network security cannot be compromised for the sake of convenience. It is a vital mechanism that protects Ethereum’s integrity, ensuring its stability and trustworthiness as a leading blockchain platform. This deliberate design choice, while requiring patience from stakers, ultimately fortifies the entire ecosystem against potential threats, paving the way for a more secure and reliable decentralized future. Frequently Asked Questions (FAQs) Q1: What is the main reason for Ethereum’s long unstaking period? A1: The primary reason is network security. A lengthy ETH unstaking period prevents malicious actors from quickly withdrawing their stake after an attack, giving the network time to detect and penalize them, thus maintaining stability and integrity. Q2: How long is the current ETH unstaking period? A2: The current ETH unstaking period is approximately 45 days. This duration can fluctuate based on network conditions and the number of validators in the exit queue. Q3: How does Ethereum’s unstaking period compare to other blockchains? A3: Ethereum’s unstaking period is notably longer than some other networks, such as Solana, which has a two-day period. This difference reflects varying network architectures and security priorities. Q4: Does the unstaking period affect ETH stakers? A4: Yes, it means stakers need to plan their liquidity carefully, as their staked ETH is not immediately accessible. It encourages a longer-term commitment to the network, aligning staker interests with Ethereum’s stability. Q5: Could the ETH unstaking period be shortened in the future? A5: While Vitalik Buterin acknowledged the current period might not be “optimal,” any significant shortening would likely require extensive research and network upgrades to ensure security isn’t compromised. For now, the focus remains on maintaining robust network defenses. Found this article insightful? Share it with your friends and fellow crypto enthusiasts on social media to spread awareness about the critical role of the ETH unstaking period in Ethereum’s security! To learn more about the latest Ethereum trends, explore our article on key developments shaping Ethereum’s institutional adoption. This post Crucial ETH Unstaking Period: Vitalik Buterin’s Unwavering Defense for Network Security first appeared on BitcoinWorld.
Share
Coinstats2025/09/18 15:30
Shiba Inu Price Forecast: Why This New Trending Meme Coin Is Being Dubbed The New PEPE After Record Presale

Shiba Inu Price Forecast: Why This New Trending Meme Coin Is Being Dubbed The New PEPE After Record Presale

While Shiba Inu (SHIB) continues to build its ecosystem and PEPE holds onto its viral roots, a new contender, Layer […] The post Shiba Inu Price Forecast: Why This New Trending Meme Coin Is Being Dubbed The New PEPE After Record Presale appeared first on Coindoo.
Share
Coindoo2025/09/18 01:13
The U.S. Financial Accounting Standards Board plans to study in 2026 whether crypto assets such as stablecoins can be classified as cash equivalents.

The U.S. Financial Accounting Standards Board plans to study in 2026 whether crypto assets such as stablecoins can be classified as cash equivalents.

PANews reported on December 31 that the Financial Accounting Standards Board (FASB) plans to study in 2026 whether certain crypto assets can be classified as cash
Share
PANews2025/12/31 16:50