SAO PAULO, March 6 (Reuters) - Brazilian fintech Meliuz

has launched a new strategy allowing it to allocate

part of its cash reserves in bitcoin and could eventually make

the cryptocurrency the main asset of its treasury, it said on

Thursday.

The company's Sao Paulo-traded shares jumped more than 25%.

Meliuz said it was aiming to capture "long-term returns"

through the bitcoin investments, taking inspiration from firms

such as U.S.-based Strategy, the biggest corporate

holder of the cryptocurrency, and Japan's Metaplanet ( MTPLF ).

Up to 10% of Meliuz's cash can be allocated in bitcoin

, the firm said in a securities filing, adding it had

already purchased 45.72 bitcoin for about $4.1 million.

Founded in 2011, Meliuz initially offered cashback payments

at online stores, expanding into physical retail and app usage,

and now also offers free digital accounts and credit cards.

The company went public in late 2020 but its stock collapsed

in recent years amid Brazil's high interest rates. It currently

has net cash of more than 240 million reais ($41.72 million),

according to the filing.

"Allocating a significant amount of our capital to fixed

income investments may seem like a prudent strategy, but in

practice we believe it represents a significant opportunity

cost," Chairman Israel Salmen said in a statement.

"This (new) strategy will not only protect and strengthen

Meliuz's financial position, but also has the potential to

position us as pioneers in a financial transformation that is

already underway globally."

Meliuz will also conduct a detailed analysis, including on

"the adoption of bitcoin as the main strategic asset of our

treasury," it said.

Analysts at UBS BB said that although fairly new among

Brazilian companies, Meliuz's strategy aligns with a growing

global trend of seeking alternative stores of value and

potential returns.

"If successful, the strategy might set Meliuz apart in

attracting investors interested in crypto exposure," they said

in a note to clients. "On the other side, it could create more

volatility to the results."

($1 = 5.7533 reais)