Strategic Withdrawal from Cryptocurrency
As Bitcoin continues reaching record highs - currently trading near $93,574 - Chinese tech company Meitu has made a decisive move by divesting its entire cryptocurrency portfolio. The Hong Kong-listed firm sold its holdings for approximately $180 million, realizing a profit of $79.63 million (≈¥571 million).
![Bitcoin price chart showing upward trend]
Timeline of Meitu's Crypto Journey:
2021: Invested $100 million across three major purchases
- 31,000 Ethereum (ETH) @ $50.5 million
- 940.89 Bitcoin (BTC) @ $49.5 million
- 2022: Faced significant losses during crypto winter
- December 2024: Completed full divestment
Financial analysts commend this timing as prudent risk management. "Exiting volatile crypto assets improves financial stability while avoiding regulatory uncertainty," notes blockchain expert Chen Xiaohua.
Doubling Down on AI-Powered Imaging
With cryptocurrency chapter closed, Meitu shifts full attention to its core business - AI-enhanced imaging and design software. The strategy appears successful:
2024 Financial Highlights
| Metric | Value | Growth |
|---|---|---|
| Total Revenue | ¥1.62B | +28.6% |
| Adjusted Net Profit | ¥270M | +80.3% |
| Paying Subscribers | 10.81M | Record High |
Morgan Stanley recently initiated coverage with an "Overweight" rating, citing:
- Recurring revenue from subscriptions
- Significant growth potential in paying user conversion (current 4.2% penetration)
Global Expansion Strategy
Meitu's next phase focuses on international markets:
Recent Overseas Moves
- Established offices in USA, UK, and Australia
- Localized hiring in key markets
- Product adaptations for regional preferences
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FAQ: Understanding Meitu's Strategic Shift
Q: Why sell cryptocurrencies now?
A: To lock in profits and redirect resources toward more predictable, core business growth.
Q: What makes Meitu's AI solutions competitive?
A: Early adoption of generative AI for practical imaging tools creates strong product-market fit.
Q: Which markets are priority for expansion?
A: English-speaking countries with established digital content creator ecosystems.
Q: How does subscription model benefit investors?
A: Recurring revenue provides stable cash flow and predictable growth metrics.
Meitu demonstrates that focused execution on core competencies - enhanced by strategic AI implementation - can create sustainable value even amidst market volatility.