ZOOZ Power’s Bitcoin-Backed Buyback: A Bold Move in a Volatile Market

TEL AVIV, Israel – November 3, 2025 – ZOOZ Power Ltd. (NASDAQ: ZOOZ, TASE: ZOOZ) today announced a $50 million share repurchase program, an unusual move fueled by the company’s increasingly significant Bitcoin holdings. The decision, authorized by ZOOZ’s Board of Directors, has sparked debate among analysts, raising questions about whether this is a shrewd financial strategy or a potentially risky gamble on the future of cryptocurrency.

ZOOZ, a dual-listed company on the Nasdaq and Tel Aviv Stock Exchange, has been pioneering a long-term Bitcoin treasury strategy. The firm currently holds 1,036 Bitcoin, valued at approximately $118.25 million as of today, representing a substantial portion of its corporate assets. The share buyback, which is subject to regulatory approvals, aims to return value to shareholders while simultaneously signaling confidence in the company’s long-term prospects – and the enduring value of its digital asset holdings.

“This is a fascinating case study in modern corporate finance,” says one anonymous financial analyst specializing in the cryptocurrency space. “We're seeing a company actively using its Bitcoin holdings to support its stock price, creating a direct link between the volatile crypto market and shareholder value.”

Navigating Regulatory Hurdles in Israel

However, the path to executing this buyback program isn't straightforward. ZOOZ must navigate a complex web of regulatory requirements, both in Israel and the United States. Israeli regulations mandate a 30-day waiting period for creditor notification before the repurchase can begin. This is a standard procedure, but could be extended if any creditors raise objections.

“The 30-day period is a crucial step, and any delays could impact the timing and execution of the buyback,” explains an anonymous Israeli corporate lawyer specializing in capital markets. “Companies listed on both the TASE and Nasdaq must adhere to both sets of regulations, which adds another layer of complexity.”

Further complicating matters is the inherently volatile nature of Bitcoin. The price of the cryptocurrency has experienced significant swings in recent months, and a sharp decline could negatively impact ZOOZ’s ability to fund the buyback program. The company's decision to utilize Bitcoin, rather than liquid cash reserves, for the repurchase introduces an element of risk that many traditional companies avoid.

A New Paradigm for Capital Allocation?

ZOOZ’s move is part of a growing trend among companies experimenting with Bitcoin as a corporate asset. MicroStrategy has been the most prominent example, accumulating over 193,000 Bitcoin and engaging in multiple share buyback programs. However, ZOOZ’s approach is distinct in its direct connection between Bitcoin holdings and the repurchase program, signaling a stronger commitment to the cryptocurrency.

Compared to companies like Tesla, which previously held Bitcoin but has since sold most of its holdings, ZOOZ is actively doubling down on its digital asset strategy. Block (formerly Square) holds a significant amount of Bitcoin but hasn't implemented a similar buyback program.

“ZOOZ is essentially betting on Bitcoin’s long-term success, and the share buyback is a way to share that potential upside with shareholders,” says a market commentator. “It’s a high-risk, high-reward strategy that could pay off handsomely if Bitcoin continues to appreciate, but could also backfire if the cryptocurrency enters a prolonged bear market.”

Market Reaction and Analyst Views

The announcement of the share buyback has been met with mixed reactions from the market. News outlets like Bloomberg and Reuters have highlighted both the potential benefits and risks of the strategy, while analysts are divided on whether the move is a savvy financial maneuver or a speculative gamble.

Social media platforms like Reddit and Twitter are buzzing with debate, with some praising ZOOZ’s boldness and others questioning the valuation. One analyst at Seeking Alpha rates the stock as a “Hold” with a “Speculative Buy” potential, acknowledging the high risk but also recognizing the potential for significant upside.

A Test of Confidence

Ultimately, ZOOZ’s Bitcoin-backed buyback program is a bold move that reflects the company’s strong belief in the long-term value of cryptocurrency. It is a test of confidence in both Bitcoin and the company’s ability to navigate the complexities of a rapidly evolving financial landscape.

Whether this strategy will prove successful remains to be seen, but it is undoubtedly a fascinating case study in modern corporate finance and a sign that the lines between traditional finance and the digital asset world are becoming increasingly blurred. As ZOOZ proceeds with the repurchase, investors will be watching closely to see if this new approach to capital allocation will pay off—or if it will become a cautionary tale for other companies considering a similar path.