Digital Currency X Technology Inc. (Nasdaq: DCX) has entered into a securities purchase agreement to sell $700 million of units in a private placement, the company said in a statement. Investors subscribing to the deal may pay either in U.S. dollars or in certain digital assets, specifically Bitcoin and Ethereum.
Each unit in the offering comprises one Class A ordinary share - carrying a par value of $0.0001 - together with three warrants. The units are priced at $2.11 apiece. The associated warrants have an exercise price of $2.11 per share, became exercisable on June 24, 2026, and will lapse three years after that date.
DCX said it plans to apply the capital to working capital and general corporate purposes. The company specified that uses include bolstering its digital asset treasury strategy and supporting the expansion of its AI cloud computing services business.
The announcement noted the company is in the process of transitioning away from electric-vehicle manufacturing. As part of its rationale for accepting digital assets as payment, DCX said the approach lets it enlarge its treasury holdings without needing to convert received assets through open markets.
"This financing is structured to match how we operate as a treasury-focused company," said Melissa Chen, Chief Executive Officer of DCX. "Investors can subscribe with the same digital assets we hold and manage, which lets us build our balance sheet without forcing conversions through the market."
The company emphasized that the closing of the private placement is subject to customary conditions.
Below are concise takeaways and considerations derived from the company statement, with an emphasis on the corporate finance, digital asset treasury, and cloud services implications.
- Transaction structure: $700 million sold as units containing one Class A share and three warrants, at $2.11 per unit.
- Payment flexibility: Investors may subscribe in U.S. dollars or specified digital assets, including Bitcoin and Ethereum.
- Use of proceeds: Working capital and general corporate purposes, including a digital asset treasury strategy and expansion of AI cloud computing services.
The statement presents a financing tailored to the company’s stated focus on treasury management and digital-asset holdings while funding a pivot away from electric-vehicle manufacturing toward digital asset and AI cloud capabilities. The agreement remains conditional pending customary closing requirements.