MEI Pharma Buys $100 Million in Litecoin as Reserve Asset

Who are Mei Pharma?

MEI Pharma (NASDAQ: MEIP), a U.S.-listed pharmaceutical company, is shifting its focus from drug development to integrating digital assets into its financial operations. San Diego-based MEI Pharma is best known for drug candidates such as voruciclib, an experimental CDK9 inhibitor, but it has recently moved into the cryptocurrency space. Currently ranked 24th by market capitalization with around $9.5 billion, Litecoin (LTC), created by Charlie Lee in 2011, is one of the oldest cryptocurrencies. It is known for its fast transaction speeds and low fees.

How did the event happen and how did it play out?

MEI Pharma’s announcement on August 5, 2025 confirmed the purchase of 929,548 LTC tokens at an average price of $107.58 per token between July 30 and August 4, 2020. This was the start date of the event. The company’s LTC book is currently valued at around $115 million at the current market price of around $124/LTC. A $100 million private equity offering (PIPE) closed in July 2025, with Charlie Lee and GSR as lead investors, as well as participation from the Litecoin Foundation and major investment funds such as Mozayyx, ParaFi, and CoinFund. The transaction was fully funded by the PIPE.

The development suggests that MEI Pharma has established a new financing strategy using the rise of LTC, which has increased by 15% over the past month. Charlie Lee, who recently became a new board member replacing Taheer Datoo, and GSR, who was appointed as digital asset manager, will co-create the strategy. The company emphasizes LTC thanks to low transaction fees, 13 years of continuous operation and integration with platforms such as Robinhood, BitPay and PayPal. Following the announcement, MEIP shares jumped 123% for the week, reaching a three-year high.

Choose Litecoin as a reserve asset

MEI Pharma becomes the first US-listed company to use Litecoin by purchasing $100 million in LTC, boosting its net worth and helping other pharmaceutical companies move into the digital asset. This also facilitates future expansion into LTC mining or free finance initiatives. This move, especially at its current price of $115 million, could increase the price of Litecoin and attract institutional investors, cementing LTC’s position as a better alternative asset to Bitcoin.

Owning 929,548 LTC allows MEI Pharma to profit if Litecoin’s price continues to rise; analysts predict that it could reach $150 by the end of 2025. The company may also consider methods such as Litecoin mining or lending on free finance platforms to generate additional revenue streams outside of the pharmaceutical industry. While continuing to research drugs like voruciclib maintains core operations and balances risks, Charlie Lee and GSR's involvement ensures professional management.

This strategy is risky but promising. First of all, the price change of Litecoin is a major issue. MEI Pharma's portfolio value could fall by $22 million if the price falls from $124 to $100, resulting in financial losses. Second, the transition from pharmaceuticals to digital assets could lose the confidence of ordinary shareholders, especially for MEI Pharma, which has little experience in cryptocurrency management. In addition, although the newly announced "Project Crypto" has reduced the pressure of the SEC on regulations, changes in new regulations are still possible. The independence of Charlie Lee and GSR is also affected, while cyber attacks could affect the company's digital treasury.

Conclude

MEI Pharma’s purchase of $100 million in Litecoin as a reserve asset, led by Charlie Lee and GSR, is a significant milestone, marking a strategic shift by a pharmaceutical company into the cryptocurrency space. This event not only brings potential benefits to MEI Pharma, but also promotes institutional adoption of Litecoin, despite the risks of price volatility and regulation.

Disclaimer: The information presented in this article is the author's personal opinion on the cryptocurrency field. It is not intended to be financial or investment advice. Any investment decision should be based on careful consideration of your personal portfolio and risk tolerance. The views expressed in the article do not represent the official position of the platform. We recommend that readers conduct their own research and consult with a professional before making any investment decisions.