Mogo Inc. [NASDAQ: MOGO] disclosed that it has decided to invest 5% of the value of its cash and investment portfolio in cryptocurrencies. The firm has bought nearly 146 Ether (ETH) at an average price of US$2,780. Ethereum is an open-source, block-chain based, decentralized software platform that utilizes its own cryptocurrency, Ether.
The investment of Ethereum is in line with the plans of the firm to boost the balance sheet investment of the firm in the blockchain and fintech ecosystem, especially as it monetizes its portfolio of equity investments which had a value of nearly $18.4 million as of December 31, 2020.
Shares of Mogo Inc plunged 6.67% at $8.67 at the time of writing on Monday. The firm has reported a trading volume of 1.49 million as compared to the average volume of 4.02 million. The firm has recorded the 5-weeks low and high range of $0.72 and $12.29, respectively. Mogo’s market capitalization reached $553.58 million at the time of writing.
Additionally, the firm has already made an investment in Bitcoin. It has bought nearly 18 Bitcoins to date in open market deals at an average price of US$33,083. Mogo decides to make an investment of more than 5% of its cash and investment portfolio value in cryptocurrencies. This initial financial investment in Ethereum based on momentous product development and corporate development activity of MOGO in cryptocurrency.