The first Bitcoin reserve concept stock on the Taiwan stock market has been born! Dafeng Electric has established a digital asset committee, and its financial report for the first half of the year has reached a new high.

Taiwan's Capital Market welcomes a historic moment! Cable television and broadband operator Dah Feng Electronics (6184) announced the establishment of a "Digital Asset Committee" and will include Bitcoin in the company's long-term reserve assets, becoming the first publicly listed company in Taiwan to openly embrace Crypto Assets. This move not only sparked heated discussions in the market but also, with the support of impressive financial reports, led Dah Feng Electronics' stock price to hit the upper limit the day after the announcement.

Bitcoin Deposit! Dafeng Electric Opens a New Chapter in Asset Allocation

On August 13, the board of directors of Dafeng Electric approved the establishment of the "Digital Asset Committee," chaired by director Dai Yonghui, to integrate core departments such as risk management, legal affairs, information security, and strategy, responsible for formulating asset allocation principles, risk control mechanisms, and information disclosure regulations.

The company emphasizes that it will adopt a "stable first" approach and a phased implementation strategy to ensure that daily operating capital and existing business are not affected.

This move makes Dafeng Electric the first publicly traded company in Taiwan to list Bitcoin as a long-term reserve asset, aligning with international companies such as Strategy (formerly MicroStrategy) and Japan's Metaplanet, using Bitcoin's scarcity and global liquidity to hedge against inflation and diversify asset risk.

Financial report hits a new high for the same period, broadband business becomes the growth engine

Dafeng Electric did not turn to digital assets due to underperformance in its main business. In the first half of 2024, the company's consolidated revenue reached 1.078 billion yuan, a year-on-year increase of 2.2%, setting a new high for the same period in history; earnings per share (EPS) were 1.77 yuan.

Among them, broadband revenue reached 440 million, accounting for 40.7% of total revenue, a year-on-year increase of 12.8%, becoming the core driving force for counter-cyclical growth.

Although the total number of cable TV households in Taiwan has decreased by nearly 18% since its peak in 2017, Da Feng Electric has successfully resisted the industry's headwinds thanks to the stable growth of its broadband services.

Stock price hits the upper limit, the market is optimistic about the demonstration effect

The day after the announcement (August 14), the stock price of Dafeng Electric jumped directly to the limit up at 56.1 yuan, with more than 2,000 buy orders remaining high. Market analysis suggests that Da Feng Electric's decision may trigger a demonstration effect, prompting more publicly listed companies in Taiwan to study the feasibility of digital asset allocation, especially against the backdrop of heightened global inflationary pressures and interest rate uncertainties.

Imitate international giants to build a "digital gold" defense line

The move by Da Feng Dian is highly similar to the Bitcoin reserve strategy of MicroStrategy in the United States. Since 2020, Strategy has been buying large amounts of Bitcoin as its main inventory asset, with its stock price highly correlated to the Bitcoin trend, becoming a globally recognized Bitcoin concept stock.

The chairman of Dafeng Electric, Zhang Mingzhi, stated: "Incorporating Bitcoin into long-term assets is an important step for us to embrace the wave of the digital economy." He emphasized that this investment is completely separated from the daily operating funds to ensure the core business operates steadily.

New Challenges in Regulation and Investment Assessment

As companies venture into digital assets, Taiwan's current accounting standards, tax regulations, and information disclosure systems will inevitably face adjustment pressures.

Analysts point out that in the future, when investors evaluate companies like Taifong Electric, in addition to traditional financial indicators, they also need to consider the positions and price fluctuations of crypto assets, which will bring a new dimension to stock market analysis.

Conclusion

Dafeng Electric has become the first Bitcoin reserve concept stock in the Taiwan stock market, not only delivering a shockwave in the capital market but also opening a new chapter for asset allocation among Taiwanese enterprises. As digital asset regulation matures gradually, more companies may follow suit in the future, promoting the integration of Taiwan's capital market with the global crypto economy.