In recent times, many companies have been getting into the cryptocurrency space due to the long-term possibilities. American Diversified Holdings Corp (OTCMKTS:ADHC) is one such company.
Earlier this week, the company announced that it is going to spin off its crypto arm Universal Crypto into a separate publicly listed company. This has resulted in a strong rally in the stock. Yesterday, the Universal Wellness stock soared by as much as 59% to take its gains for the past week to more than 250%.
The company is currently engaged in talks with its legal counsel with regards to a digital asset transaction worth as much as $20 million.
Since the accounting processes in relation to cryptocurrencies are different, a new company to house its crypto assets might well be an effective move from Universal Wellness. Those who hold shares in Universal Wellness will be awarded with shares in the new company on the dividend date.
Writing for business and finance publishers has become his passion over the last decades after he completed a master’s degree in Financial Management. Sharing some opinions and forecasts to thousands of readers is a routine job for him but he never promises to invest in one stock.