Safety Shot, a wellness drinks company, saw its stock plunge by 50% after announcing a $25 million investment in the Bonk memecoin as part of a new treasury strategy. The company has formed a strategic partnership with the Bonk founding contributors, aiming to integrate deeply into the memecoin ecosystem. Safety Shot justifies its choice of Bonk, highlighting its technological advantages over competitors like Shiba Inu and Dogecoin due to superior transaction speeds and lower costs. Despite settling all debts and holding over $15 million in cash, investors reacted negatively to the audacious move, leading to a downturn in the stock price, which fell to $0.59 in after-hours trading. The memecoin has seen a significant decline in value, dropping 57% from its peak in November 2024. This investment aligns with a broader wave of public firms exploring treasury strategies related to memecoins, although the overall memecoin market has shrunk by 25% year-to-date while the wider crypto market has appreciated by 22%.

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