KULR Disclosed a $21 Million Bitcoin Treasury Purchase

KULR Technology Group disclosed on December 26, 2024 that it had completed the first purchase under its new bitcoin-treasury strategy, acquiring 217.18 BTC for approximately $21 million. The NYSE American-listed energy-management company reported an average price of $96,556.53 per bitcoin and furnished the announcement to the Securities and Exchange Commission on Form 8-K.

The transaction mattered beyond its modest size relative to the bitcoin market. It showed another operating company converting a material part of its corporate liquidity into bitcoin only weeks after MicroStrategy’s bitcoin-heavy balance sheet entered the Nasdaq-100. KULR was not a bitcoin fund or mining company on December 26; its stated businesses involved battery safety, thermal management and energy-storage systems for aerospace, defense and other applications.

From treasury policy to an executed purchase

KULR had announced its treasury policy on December 4, saying its board had agreed to make bitcoin a primary treasury asset and could allocate as much as 90% of surplus cash to it. That percentage was an upper limit, not a commitment to keep 90% of all company cash in bitcoin or evidence that 90% had already been invested.

The December 26 filing turned that policy into a reported position. KULR characterized the $21 million acquisition as the first of continuing purchases it intended to make. It also said it had selected Coinbase Prime to provide custody, USDC and self-custodial-wallet services. The filing did not identify individual trades, execution times, wallet addresses, settlement records or the precise custody arrangement ultimately used for each coin.

Multiplying the disclosed 217.18 BTC by the stated $96,556.53 average produces approximately $20.97 million. That calculation is consistent with the company’s rounded $21 million description, but the event-day announcement did not specify whether its average included every fee and expense.

Financing and liquidity questions

A separate SEC prospectus supplement dated December 26 allowed KULR to offer as much as $50 million of additional common stock through Craig-Hallum Capital Group under an at-the-market program. The agreement provided for compensation equal to 2.5% of gross proceeds from shares sold under it.

The prospectus did not say that $50 million had been raised on December 26, and neither that document nor the bitcoin announcement traced the initial purchase to particular share sales. Treating the authorization itself as completed financing—or claiming those prospective proceeds funded the disclosed bitcoin—would go beyond the contemporaneous record.

The financing question was material because KULR’s latest quarterly filing available on December 26 reported $912,417 of cash and a working-capital deficit of approximately $1.16 million as of September 30, 2024. Those figures were nearly three months old and could not establish KULR’s liquidity when it bought the bitcoin. They did show why investors needed an updated reconciliation of cash generation, security issuance and treasury deployment.

The purchase consequently created two forms of exposure for shareholders. Bitcoin-price changes could affect the value of the treasury, while common-stock issuance could dilute existing ownership. KULR’s operating requirements still competed for capital, and bitcoin generated no contractual cash flow to fund those requirements.

Later clarification of the record

KULR’s later annual report said the acquisition was completed through Coinbase on December 22, 2024 and reported a weighted average of approximately $96,696 per bitcoin, or approximately $96,694 including fees and expenses elsewhere in the filing. That later primary record clarifies that December 26 was the public disclosure date rather than the execution date. It does not erase the event-day figure of $96,556.53, and the filings did not fully reconcile the difference.

The defensible December 26 conclusion is therefore narrow: KULR publicly established a 217.18-BTC corporate treasury position and retained access to substantial equity issuance. The records verified the announced quantity and approximate cost, but left trade-level execution, exact fee treatment and contemporaneous funding sources unresolved.