OnlyFans platform invests $ 20 million in Ethereum cryptocurrency

The British adult content subscription platform OnlyFans has entered the cryptocurrency space by investing in the main altcoin.

According to the company’s financial statements, OnlyFans acquired Ethereum for $ 19.889 million. However, since the acquisition of the cryptocurrency, the value of ETH has declined, resulting in losses of $ 8.455 million for OnlyFans.

Adult content subscription service Onlyfans' financial report shows that it invested part of its working capital into Ethereum.

Onlyfans purchased $ 19.889 million worth of ETH. The purchased ETH has a Impairmnent loss of $ 8.455m as of November 30, 2022, with a Carrying amount… pic.twitter.com/dW1sYQfIkp

— Wu Blockchain (@WuBlockchain) August 27, 2023

As a result, the residual value of Ethereum, known as the book value, is currently $ 11.434 million. According to the company’s documentation, investments in cryptocurrencies are part of the investment in intangible assets with «indefinite useful lives.» OnlyFans' investment in cryptocurrencies may have several implications, indicating a targeted move towards diversification and the use of blockchain technology.

In addition to cryptocurrency investments, OnlyFans has previously expanded its financial portfolio by investing in fungible tokens. In February 2022, OnlyFans introduced a feature that allows users to display verified NFTs as a profile picture. The adult platform allowed the use of only NFTs minted on the Ethereum blockchain.

As it became known earlier, Leonid Radvinsky, a Ukrainian developer from Odesa who created the OnlyFans platform, earned almost half a billion dollars in two years: in 2021, Radvinsky received $ 284 million, and in 2022 — $ 233 million. Thus, the developer with Ukrainian roots has become one of the highest paid owners of internet companies registered in the UK.

OnlyFans started growing in popularity during the first wave of the COVID-19 pandemic. Back then, the company’s revenues grew from $ 61 million to $ 433 million in a year. As a result, the service earned more money than MindGeek (the company that runs Pornhub and YouPorn).