The Chinese mainland, some of the restrictive countries on the planet within the direction of cryptocurrency, could catch up with to adoption because a neighborhood surgery brand has announced a Bitcoin reserves strategy.
DDC Enterprise, also often known as the Daydaycook, a US consumer brand with the roots and operations in Hong Kong on the Chinese mainland, takes over a reserve strategy (Bitcoin), said CEO Norma Chu on May 15 in a shareholder letter.
As a part of the strategy, DDC 100 BTC acquired 5,000 BTC for around 10.4 million US dollars and plans to gather 5,000 BTC in the following 36 months, with 500 BTC targeting by the top of 2025.
The Bitcoin reserve announcement of ChU got here after the corporate achieved a sales increase of 33% in 2024, with the whole turnover of 273.3 million Chinese Yuan ($ 37.4 million) on May 15 when registering for form 20-F on the US Securities and Exchange Commission (SEC).
The Bitcoin plans of DDC are missing in SEC recordings
Despite the general public announcement, the newest SEC registrations from DDC don’t expressly mention Bitcoin Holdings or a Bitcoin reserve strategy.
“We start a pioneer initiative to position DDC at the highest of the digital asset innovation with laser version when accumulating Bitcoin,” said the DDC CEO within the shareholder letter.
Chu previously announced DDC's intentions to follow a Bitcoin reserve strategy in one other letter on March 18.
Source: Norma Chu
Although the annual report of DDC Bitcoin Reserve plans doesn’t mention, the SEC submission offers information on the intended introduction of BTC by the corporate as a brand new wealth class.
“The Company [DDC] Evaluation of strategies with the intention to obtain the obligatory additional funds for future operations, ”says the report because of this:
“The company plans to diversify the sources of income and implement cost-saving measures to extend the income and reduce expenses. However, the corporate may not give you the chance to access further equity or external financing if obligatory.”
In addition, the registration refers back to the crypto -open -test guidelines specified by the accounting standards -update of the Financial Accounting Standard (FASB).
“In December 2023, the FASB ASU 2023-08 published” intangible assets, goodwill and other crypto assets (subtopically 350-60). Consideration and disclosure of crypto assets “, wherein registrations were allowed to make use of the brand new rules at an early stage if their financial reports haven’t yet been published.
Chinas developing attitude towards crypto
According to DDC's registration, that the corporate works partly on the Chinese mainland and in Hong Kong, which sets its financial conditions and its growth under the influence of local political, economic and social developments.
From May 2025, the Chinese mainland has maintained a restrictive agenda for trading in cryptocurrency and mining since 2021 when the local supervisory authorities announced a big ban on crypto transactions.
However, many online reports have speculated that China could increase its crypto ban within the growing adoption in Hong Kong and the persistent global shift to crypto, which is raised by the crypto-friendly approach of the US government under President Donald Trump.
Nevertheless, some analysts questioned the plans of mainland China to “unbrouded” Bitcoin, even though it was someway a crucial global player in Bitcoin mining, even after the ban was issued.
CoinTelegraph turned to DDC to get a comment on the Bitcoin Reserve plans, but had not received a solution on the time of publication.
