Beckham-backed health supplement giant abandons Bitcoin strategy—market shift or strategic adjustment?

As of December 31, 2025, the price of Bitcoin on the Gate exchange was $88,385.19, representing an increase of over 433% compared to the end of 2022, three years earlier. However, amid the seemingly positive outlook for the Bitcoin market, Hong Kong health tech company Prenetics, supported by football star David Beckham, announced a pause in its Bitcoin purchasing strategy.

The company had raised $48 million in October 2025 and planned to buy 1 Bitcoin daily, aiming to achieve $1 billion in revenue and Bitcoin assets within five years. This shift occurred in a persistently sluggish cryptocurrency market, sparking widespread industry discussion on how companies should balance crypto asset investments with core business development.

01 Key Event

Prenetics’ shift in Bitcoin strategy is a significant case in corporate crypto asset allocation. This Hong Kong-based health tech firm, early on, partnered with British football legend David Beckham as an equity partner and brand ambassador, demonstrating strong confidence in crypto investments.

In October 2025, the company completed an oversubscribed equity financing, raising $48 million, with potential proceeds reaching $216 million through warrant exercises. At that time, the company explicitly stated that the funds would be used to expand its health brand IM8 and advance its Bitcoin treasury strategy.

IM8, Prenetics’ health and wellness brand, achieved $100 million in annual recurring revenue within just 11 months, showcasing robust business growth potential.

02 Strategic Shift

Just two months after the financing, Prenetics announced a halt to its Bitcoin purchasing strategy. This decision aligns with the ongoing downturn in the cryptocurrency market. According to the company’s latest statement, they will focus resources on the development of IM8.

Currently, Prenetics will retain its existing 510 Bitcoins as reserve assets. Based on the December 31, 2025, price of $88,385.19 on Gate exchange, these assets are valued at approximately $45 million.

Prenetics’ decision reflects a risk-averse approach amid market volatility. CEO Danny Yeung previously stated that the initial goal was to achieve $1 billion in revenue and Bitcoin assets within five years.

03 Underlying Reasons

The behind-the-scenes reason for Prenetics’ abandonment of its Bitcoin purchase strategy involves multiple factors. This decision is not just a reaction to short-term market fluctuations but also a reassessment of the company’s asset allocation strategy.

The ongoing downturn in the crypto market is a direct catalyst. Despite Bitcoin reaching new highs multiple times in 2025, the overall market shows structural divergence. For publicly listed companies like Prenetics, shareholder focus on short-term financial performance often outweighs the potential long-term gains from crypto asset allocation.

From a business development perspective, IM8 achieved $100 million in annual recurring revenue within 11 months, demonstrating strong growth momentum. With limited resources, concentrating funds on high-growth core businesses rather than volatile crypto assets is a more rational choice.

Managing corporate Bitcoin holdings also requires professional risk management capabilities. Prenetics’ initial enthusiasm for the Bitcoin treasury strategy was supported by crypto investors like Kraken and Exodus. However, to truly manage crypto assets effectively, companies need to establish dedicated risk management frameworks and operational procedures.

04 Market Insights

Prenetics’ strategic adjustment offers important lessons for corporate crypto asset allocation. This case indicates that companies should carefully craft their crypto strategies based on their business characteristics, market environment, and risk tolerance.

Asset allocation is becoming more diversified. Prenetics’ case reflects how companies weigh crypto assets against traditional investments. Successful strategies require balancing long-term vision with short-term market realities, especially in highly volatile asset classes like cryptocurrencies.

Long-term holding remains mainstream. Although new purchases are paused, Prenetics retains its existing 510 Bitcoins. This suggests that companies view Bitcoin more as a long-term reserve asset rather than a short-term trading tool.

The importance of professional trading platforms is highlighted. For companies, choosing the right platform for crypto asset management is crucial. Platforms like Gate not only provide trading services but also industry insights and market analysis, helping companies make more informed decisions.

05 New Investment Directions

For enterprises and individual investors seeking crypto asset allocation, Prenetics’ case offers new perspectives. Changing market conditions demand more cautious and professional investment approaches.

Diversification in corporate asset allocation is essential. Dr. Han, founder of Gate, stated in a year-end letter in 2025: “2025 marks a turning point toward the maturity of Web3.” Companies should build diversified crypto portfolios including Bitcoin rather than concentrating investments in a single asset.

A long-term perspective remains key in crypto investing. Despite short-term market fluctuations, Bitcoin continues to be one of the best-performing assets over the long run. From $16,547.85 at the end of 2022 to $88,385.19 at the end of 2025, Bitcoin’s three-year increase exceeds 433%.

The value of professional platforms is especially evident in volatile markets. Corporate investors should choose trading platforms like Gate that offer robust security measures, transparent reserve proofs, and professional services. In 2025, Gate’s reserves reached $11.676 billion, with a reserve ratio of 124%, covering nearly 500 types of user assets.

Future Outlook

After Prenetics paused its Bitcoin purchase plan, its stock price fell nearly 15% in pre-market trading following the announcement. As of December 31, 2025, the company’s 510 Bitcoins were worth about $45 million, nearly equivalent to the cash raised in its $48 million financing.

In volatile markets, Bitcoin prices on the professional trading platform Gate recovered from a low of $85,462.51 in mid-December to $88,385.19 at year-end. This trend contrasts subtly with the company’s strategic shift, indicating that crypto asset allocation is shifting from a corporate hype to a long-term financial strategy requiring professional management.