MOGU Inc. (NYSE:MOGU) shares climbed higher Thursday after the Chinese e-commerce and social commerce platform unveiled a new plan to allocate up to $20 million into digital currencies, including Bitcoin (CRYPTO: BTC), Ethereum (CRYPTO: ETH), and Solana (CRYPTO: SOL), as well as related securities and investment products.
The company's board approved the move on Sept. 9, saying the initiative is designed to diversify treasury assets.
Chairman Chen Qi has been granted authority to determine the timing and scale of the purchases.
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The board emphasized that blockchain and digital finance may play a role in building next-generation AI-powered consumer experiences, aligning with the company's long-term transformation efforts.
Financial Highlights
On July 21, the company reported unaudited results for the six months ending March 31, along with full-year fiscal 2025 numbers.
Total revenue rose 3% year-over-year to RMB79.4 million ($10.9 million). However, live video broadcast-related gross merchandise value (GMV) dropped nearly 29% to RMB2.1 billion.
Overall, GMV also declined 29.1% to RMB2.15 billion over the same period, reflecting challenges in its core business model.
Price Action: MOGU shares are trading higher by over 120% to $5.51 at last check on Thursday.
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