Allied Gaming & Entertainment, a Nasdaq-listed esports company, announced its investment in Bitcoin and Ethereum as part of a new corporate treasury management strategy. Following the announcement, the company’s stock price surged by 105% to $1.87 before settling at $1.65, marking a significant 71% increase on the day. This investment represents the first step in AGAE's plans to incorporate cryptocurrency into its financial strategy. CEO Yangyang James Li stated that they view cryptocurrency not only as a store of value but also as a strategic building block for the business's future. Allied Gaming operates the HyperX Esports Arena in Las Vegas and has been exploring various blockchain initiatives to enhance their business model. The esports sector, along with several other public companies, has been increasingly adopting cryptocurrencies, inspired by firms like MicroStrategy that have successfully integrated digital assets into their balance sheets. As more companies follow suit, AGAE aims to expand its cryptocurrency involvement through initiatives like crypto payments and tokenization models for intellectual property monetization.

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