A Nasdaq-listed blockchain technology company, BTCS, is going to become the first to offer investors the option of receiving a dividend issued in Bitcoin.
Based on the price of Bitcoin on the ex-dividend date, the company intends to pay its “Bividend” of 5% a share in Bitcoin. If investors do not elect to receive Bitcoin, they will receive the 5% dividend in cash.
After the announcement, the company’s shares rose as much as 43% to $4.40 a share, with its market capitalization swelling to over $43 million.
“We want to reward our long-time shareholders for their continued support and encourage financial freedom by providing the means to enable direct ownership of bitcoin and other digital assets,” the company said.
The “Bividend” will be payable on March 17. The company had been [anticipating this payment since February 2015 and even bought the domain, bividend.com, at that time.
The Maryland-based firm that provides staking and portfolio analysis services is evaluating whether future Bividend services are appropriate.