The Tahinis restaurant chain in Canada decided to invest all of its cash reserves in bitcoin. This decision helped the company increase its profits nearly fivefold, by 460%.
Tahinis is a family-based restaurant chain that spends all its earnings in bitcoin, a strategy that’s “worked like a charm” as it expands and Bitcoin rose against the Canadian dollar (CAD).
Business Insider reports Tahinis holds working capital in cash for a few months and then the profit, part of its treasury, is transferred into bitcoin.
Tahinis is billed as the world’s first restaurant chain to invest 100% of its cash reserves into cryptocurrency. Its founders, brothers Aly and Omar Hamam, said bitcoin exposure has been key in aiding its expansion in the face of the COVID-19 pandemic and soaring inflation that’s sent prices soaring for ingredients they need for shawarma and other dishes. The company based in London, Ontario, Canada, first invested in bitcoin in August 2020.
As a small company that started in London Ontario Canada we operate 4 corporate locations and 3 Franshise locations about to open up in Ontario. We just converted our entire cash reserves that were originally used as savings into #Bitcoin
Time for thread ??????— Tahinis Restaurants (@TheRealTahinis) August 18, 2020
Tahinis chief marketing officer, Aly, told Insider:
“We’re up, to date, 460% on our initial investment and we didn’t stop there, We will continue sweeping excess profit into bitcoins. We even bought the [April 2021 price] top and then rode it all the way down, and we just kept buying month after month after month. So it has worked like a charm for us,”
Tahinis has placed bitcoin ATMs in all restaurants.
Aly Hamam, the co-founder of Tahinis, also said that although the Canada Central Bank says inflation is at around 5%, but it depends on what you are buying. For example, beef prices rose by 25%, chicken (45%), and oils which are 110% more expensive.
As explained by Hamam, it’s not actually the products that are getting more expensive, it’s the fiat currencies that are losing their value. And this is happening all over the world.
The success of this strategy is also attracting more investors. Omar Hamam said that the search for restaurant franchises is growing.
“We had more people sign up for franchises after COVID than before COVID,” Omar Hamam, Tahinis CEO, told Insider.
This is proof that any company, regardless of its size, can benefit from Bitcoin. While Tahinis hasn’t made billions like Tesla or Microstrategy, BTC is making all the difference in its business, especially during the lockdown and inflation periods.
Disclaimer: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic’s opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
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