In a notable move highlighting the increasing adoption of cryptocurrencies in mainstream business operations, Fenix International Limited, the parent company of the adult content subscription platform OnlyFans, has made a substantial investment in Ethereum (ETH). According to the company’s 2022 financial statement recently submitted to British authorities, they purchased Ether worth $19.889 million during that year.
Fenix International Limited’s acquisition of Ethereum comes at a time when the broader crypto market has experienced both highs and lows. As of November 30, 2022, the purchased ETH had incurred an impairment loss of $8.455 million, resulting in a carrying amount of $11.434 million. This impairment reflects the volatile nature of the crypto market, with Ethereum’s price dropping from $2,797.43 to $1,298.94 during the reporting period.
This investment in Ether is not OnlyFans’ first venture into the world of digital assets. In 2022, the platform introduced a feature allowing creators to use verified Ethereum NFTs as their profile images. This move was seen as an effort to empower creators and explore the potential role of NFTs on the platform. OnlyFans’ CEO, Amrapali Gan, emphasized the initiative’s aim to “empower creators to own their full potential.”
Despite the challenges faced by the crypto landscape in 2022, including significant disruptions and collapses of various projects, Ethereum continues to be of great interest for its potential in web3 and integration into mainstream financial systems.
OnlyFans, known for its adult content offerings, has experienced significant growth in the past year. The platform’s revenue surged to $5.6 billion in 2022, up from $4.8 billion in the previous year. The number of creators on the platform also saw a 47% increase, with a 27% rise in the total number of subscribers. Additionally, the platform attracted over 50 million new users, and more than 1 million new content creators joined its ranks.
Fenix International Limited’s decision to diversify its working capital into Ethereum reflects a broader trend. As businesses recognize the potential of blockchain technology and cryptocurrencies, investments in assets like Ethereum are becoming increasingly common. With its reputation as “ultra-sound money,” Ethereum continues to attract attention from both individual investors and large corporations.
As the crypto ecosystem continues to evolve, the integration of digital assets into traditional business models is expected to become more prevalent. OnlyFans’ significant investment in Ethereum serves as evidence of this trend and the growing belief in the long-term potential of cryptocurrencies. As of the time of writing, Ethereum is trading at $1,645.
