Why bother to stare at the “leeks”? Whose future are the fake gamblers betting on?
Editor’s note: This article is from the public micro-channel number “that Finance” (ID: yidiancaijing), Author: Ace Finance.
Cai Wensheng, chairman of Meitu, who hasn’t become the protagonist for a long time, finally became popular with the recent hot Bitcoin.
Meitu issued an announcement a few days ago that it purchased 15,000 units of Ether and 379.1214267 units of Bitcoin in a public transaction on March 5, 2021. The total consideration of these two cryptocurrencies is approximately 22.1 million. US dollars and 17.9 million US dollars, the total value is approximately 312 million yuan.
Later, Cai Wensheng, chairman of Meitu, said in a circle of friends, “Meitu will continue to deploy the blockchain, this time buying ETH and BTC digital currency as a value reserve for the long-term development of the blockchain strategy.”
Cai Wensheng also proudly said: “There must be someone who is the first to eat the crab. This should be regarded as the first Hong Kong listed company to purchase BTC digital currency, and it can also be regarded as the first listed company in the world to use ETH as the currency value. Reserve.”
Simulated by the news, the share price of “Eat Crabs” Meitu opened sharply higher than 14% on March 8, but then fell all the way and closed down 6.27%. In February of this year, after Meitu’s share price hit a nearly two-year high of 4.5 yuan, its share price has fallen by more than 40%.
Obviously, the “recharge” of Bitcoin’s Mito still cannot completely change the decline. Investors have left comments: Some netizens said, “Tesla buys 30,000, Meitu buys 50,000, and the speculation company”, “If you want to make money, just say it. If you really want to be optimistic about the digital currency, you can research and develop yourself and buy it. Well?”.
From the outside world. Meitu “does not do business properly.” After Meitu Xiuxiu, Beauty Camera, Mepa Video, Meitu Mobile, the company also invested in the game industry, attacked short videos, etc., and now buys Bitcoin, but it has never found true for itself. Way out.
Aside from asset security and income, will Bitcoin be the future of Meitu? How far does a company that relies on “face value deception” to eat in the fantasy world of virtual currency? Cai Wensheng may be a very gambler, but with the bargaining chip of a listed company, Meitu’s small shareholders, how should investors vote?
01 Is it a business or an investment?
Bitcoin is a good business or a good investment target. This isThere are fundamentally different.
According to the transaction data that rose more than 4% on March 8, Bitcoin is worth $51,000. The rising prices have brought about a series of rich wealth legends, and with the help of Musk and other bigwigs to push coins, investors have swarmed.
But Bitcoin has never gone straight up. The roller coaster market has appeared several times.
In April 2013, Bitcoin dropped to 71% in just 12 hours, from $233 to $67. The direct cause of the mining disaster was the problems of the trading platform Mt.Gox and its hacking attacks.
After the first “mining disaster”, the price of Bitcoin fluctuated around US$120 until there was another wave of gains in November of that year when the price suddenly rose to US$1,150. But the drop came unexpectedly. In mid-December, after more than a dozen days, the price of Bitcoin was directly cut in half.
In the first quarter of 2014, the price of Bitcoin plummeted from USD 867 to USD 439, and in 2017, three years later, after the accumulation of the first 4 years, the price of Bitcoin was already above USD 3,000, but at 7 In the middle of the month, Bitcoin suffered a 36% correction.
In 2020, China will comprehensively regulate Bitcoin and ICO hype. This time, under the influence of Chinese factors, Bitcoin has dropped by 37% in less than a month, and its market value has evaporated by more than 30 billion U.S. dollars.
Throughout the history of Bitcoin’s development, almost every round of surge is followed by a sharp fall. There are also many factors, including technical flaws in the exchange itself, hacking attacks, and excessive prices. After the high market, the market callback and policy supervision risks. It can be said that the fundamentals of Bitcoin are still relatively fragile, and it is easy to cause a price avalanche due to an accidental event or market adjustment triggered by an inflated price.
For this reason, the “eating crabs” mentioned by Meitu Cai Wensheng is delicious, foul and poisonous, I am afraid it is too early to predict.
02 There is no shortage of beautiful pictures in the currency circle
If it were not a listed company, Meitu’s investment in Bitcoin might not have received so much attention.
As a listed company, it raises a lot of funds from the stock market, and Meitu comes from stockholders’ money bags. And once the company loses its investmentWith performance fluctuations and stock prices continuing to fall, investors are equivalent to suffering a double crit.
If it is understandable that radical investment is the investment style of some investors, then if the management of listed companies also has this “radical investment” style, the advantages for the steady operation of the company far outweigh the disadvantages.
Meitu has obviously suffered a lot from such radical investments. The data shows that from 2013 to 2019, Meitu has a cumulative loss of 12.126 billion yuan. Especially between 2016 and 2019 before and after the listing, the company’s net profit lost 6.261 billion yuan, 197 million yuan, 1.255 billion yuan and 397 million yuan respectively; in the first half of 2020, the company achieved total revenue of 558 million yuan, a year-on-year increase of 20.1% , A net loss of 16 million yuan.
The three major products of Meitu Xiuxiu, the short video platform Meipai, and the beauty camera, the three major products of Meitu are very popular, and their realization ability is weak. For this reason, Meitu has also repeatedly explored new industrial areas, such as mobile phones, game industries, short videos, etc. However, it basically belongs to the large investment and the income is far lower than expected, causing its performance and stock price to continue to decline.
This is probably the biggest concern investors have about Meitu’s investment in Bitcoin: Is Meitu’s investment in Bitcoin a financial investment or a strategic investment? If it is the former, Bitcoin is a high-risk asset, especially currently at a historical high, and therefore there are more and more market views about its bubble.
Obviously, investing in Bitcoin at this time may be quite far from the risk aversion and value-added investment goals claimed by Meitu. If it is a long-term investment, what other corresponding work has Meitu done after spending huge sums of money to buy Bitcoin? For example, whether there are technology research and development, team formation, and whether it will adopt a platform transaction or a vertical segmentation development model in the future? Check nothing.
A listed company that has been losing money all the year round, struggling in the quagmire of its main business, and repeatedly losing in new business, is turning over by investing in Bitcoin? Then why don’t investors “top up” Bitcoin by themselves?
03 Speculators
The development of a company is often closely related to the personality of its founder or actual controller. The success and failure of Meitu also point to the personal style of its chairman Cai Wensheng.
Cai Wensheng’s life is indeed legendarycolor. This Fujian Shishi man who did not graduate from high school started his career in the clothing business like many Hokkiens. It was not until 2000 that he stepped into the Internet field, taking advantage of the fact that the domestic Internet field did not pay attention to intellectual property rights and lacked understanding of the value of domain names to start the business of cybersquatting domain names. This speculation allowed Cai Wensheng to accumulate the first bucket in the Internet field. gold.
In 2013, Meitu Xiuxiu officially confirmed Cai Wensheng as the chairman of Meitu Xiuxiu, and founder Wu Xinhong as C E O. This became Cai Wensheng’s first angel investment project personally. Through the grasp of the “value economy”, Meitu Xiuxiu also achieved good results, and Cai Wensheng’s second bet was a success.
According to the industry evaluation, Cai Wensheng’s investment is to start with a simple model, and on this basis, think about some points that are conducive to value acquisition, and then go to fast-in and fast-out to make profits.
This model has its historical rationality. In the early days of my country’s Internet economy, users grew rapidly, and a large number of resources were in a low-value area or even to be developed. Once a certain entrepreneur can cut into the needs of a certain user, it is cheap Obtaining the corresponding resources can form a huge user group or realize a high premium.
Will Bitcoin continue to succeed Cai Wensheng, an opportunist?
A few years ago, Cai Wensheng and Meitu “invested” in the Bitcoin field. They first made a public announcement, then released the blockchain white paper, and then launched the BEC wallet, and the cooperative BEC tokens landed on the cryptocurrency trading platform. With the help of the blockchain at that time, the price of Bitcoin has just risen sharply. But only two months later, it suddenly announced that a major loophole had occurred and it “returned to zero” overnight.
In this coin speculation game, Meitu has gained attention and has reaped a lot of rewards through cooperation. However, the investors attracted by its concept are reduced to leeks.
A few years later, Meitu Cai Wensheng once again entered the Bitcoin market with a high profile when everyone was talking about Bitcoin. Only this time, how many investors will be attracted by Meitu’s vision for the future of Bitcoin? Pray for the “value” investors who stick to Meitu stocks!
04 Conclusion
The Japanese entrepreneur Kazuo Inamori put forward a philosophy of losers in “The Law of Living”: People are very strange. Once they are forced into a dilemma in the mirror, they want to open up and relax. ——Because there is nothing to lose, it is better to give it a go and try it for yourself.
However, this does not mean that “bo” is arbitrary. On the contrary, Shi Yuzhu, who also experienced failure and risen again, also summed up the corresponding philosophy of losers: I have failed, so I am in awe of failure. He set several principles for the giant’s subsequent development. He resolutely refrained from an industry he was unfamiliar with, and did not do what he could not give full play to his strengths. It was not that the sunrise industry did not do it, did not do it without sufficient talents, and did not do it without funds.
If Meitu Cai Wensheng only saw the first half of Inamori’s “loser philosophy”, he seemed to have a good reason to invest in Bitcoin. If he had learned the second half of Shi Yuzhu, or he would not have done so. After all, as the chairman of a listed company, any “bo” is related to the jobs of all the employees of the company, the trust of countless shareholders and the delivery of funds.
Today’s topic
What do you think of Meitu’s speculation?