Week Ending 10.05.2018

 

“WE WILL GET THERE AND THROUGH TO THE OTHER SIDE”

BLOCKCHAIN EXECS SEE REGULATORY LONG-HAUL AND MORE

 
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We attended the recent Security Token Academy Industry Launch in New York City where market players commented on the current state of blockchain regulations and what they see developing in the future.  

Vstock Transfer CEO Yoel Goldfeder:
If you wait around for the SEC to change the regulations you’ll be on the sidelines for 10 years.

Read the complete story on our website here.


MERGERS AND ACQUISITIONS

Right of Reply, the London, UK-based company developing technology to maintain personal data online using blockchain, said it was acquiring a 20% stake in US-based blockchain consulting firm National Society Lab. Terms weren’t disclosed.

In August Right of Reply said it was raising USD 6m from the over the counter sale of 400,000 shares at USD 15.00 each.

Patra, the El Dorado Hills, California-based insurance services company using blockchain, said it acquired Oakland’s InsureTech. Terms weren’t disclosed.

Gopher Protocol, the Los Angeles, California-based mobile technology company using AI and blockchain, said it bought the 50% interest Guardian Patch holds in its chip unit, Gopher Insight.  

In September Gopher and mobile location data firm Mobiquity Technologies arranged a mutual share swap and are setting up a joint venture.

True Nature, the Atlanta, Georgia-based company developing healthcare software, said it is acquiring Singularis Health, the healthcare app developer, for USD 80,000 in cash and 800,000 shares.

True Nature said in September it is acquiring ClariCare, a software developer for dental practices, for about USD 3m. In August, True Nature filed a shelf for a USD 6m equity financing with GHS Investments. The products the company develops may carry blockchain encryption.

Other deals include a reverse merger between Canoe Mining Ventures and OpenPort


FILINGS

Valtech, the London, UK-based business services firm with a focus on AI, AR and blockchain, said it plans to raise USD 106.7m in an initial public offering of 6.67m shares at USD 14.00 to USD 16.00 each on the Nasdaq.


FUNDING

AlphaNetworks, the Cheyenne, Wyoming-based entertainment company using blockchain and AI, said it raised USD 10m from investors including cryptocurrency fund Alphabit Digital Currency Fund and Smart Contract of Japan. 

SKALE Labs, the San Francisco, California-based blockchain firm, said it raised USD 9.65m in a token and cash deal led by Multicoin Capital, a cryptocurrency fund based in Austin, Texas. Multicoin’s take is here.

DrumG Technologies, the Hamilton, Bermuda-based financial technology company using blockchain, said it raised USD 6.5m in a Series A from ConsenSys

TEMCO, the Seoul, South Korea-based logistical supply chain company using blockchain, said South Korean venture capital firm Korea Investing Partners has made an unspecified investment in the company. 

In August TEMCO, hired Gabriel Kurman as a social impact advisor. Kurman is the co-founder of RSK as well as CFO and head of investor relations at Koibanx, two blockchain companies.

Binance, the Malta-based cryptocurrency trading platform, said it invested over USD 2.5m in Australia’s TravelbyBit and will develop blockchain-based payments systems in airports. 

The company’s Binance Labs unit also invested an unspecified amount in Contentos, the digital content distribution platform using blockchain.

VinX, the Israeli company developing wine futures trading on blockchain, has taken an unspecified investment from Medici Ventures, a venture capital unit of Overstock, the online discount retailer focused on blockchain investments.

WISeKey International, the Geneva, Switzerland-based cybersecurity firm focused on AI and blockchain, said it arranged a USD 3.5m short term loan from Yorkville Advisors Global, the hedge fund based in New Jersey, and a two-year USD 3m convertible loan from Crede Capital, the Los Angeles-based family office.

The company also hired a new executive. (See People section.)

Other deals include ELONCITY, Datametrex AI, LandStar, IntellaEquity, International Spirits and Beverage Group and Blockchain Foundry 


LEGAL & REGULATORY

See our story above.


PEOPLE

Breakout Capital Finance, the McLean, Virginia-based small business lender, said it hired Tim Buzby as CFO. Buzby was CEO of agricultural lender Farmer Mac. Breakout said it uses AI, machine learning and blockchain technology to provide credit to small businesses. 

In June Breakout promoted James Mendelsohn to chief operating and revenue officer. He will also continue in his previous role as head of marketing and sales. 

Blis, the New York City-based analytics company using blockchain in the retail industry, said it hired Aaron McKee as chief technology officer. He has served as the chief technology officer at online advertising firm Skimlinks, Job Today and Struq.

LevelBlox, the Sarasota, Florida-based business software developer using blockchain, said it hired former Microsoft executive Barry Friedman as vice president of software asset management solutions. 

Last month, the company, which was formerly called AlphaPoint, appointed Mosihe Gubin to its board of directors. Gubin is chairman of OptimumBank and CEO of both Strawberry Fields REIT and United Rx.

In August the company appointed Fisher Cataliotti partner Katya Fisher to the board. The law firm is focused on blockchain, cybersecurity, cryptocurrency and artificial intelligence. The same month it hired Ned Myers as head of product to run the company’s marketing efforts, and Srikant Manda as chief information security officer.

Myers joins from Black Knight, where he ran the capital markets and government businesses in the data and analytics division. Manda previously led security architecture and engineering teams at Juniper Networks and Fortinet. 

AlphaPoint, which is developing corporate auditing software, hired Kristin Boggiano as chief legal officer in July. She was most recently senior regulatory counsel at Guggenheim Asset Management.

In June, the company hired former Ricoh executive James Whelan as chief technology officer and former Nasdaq executive Michael Schmidt as chief human resources officer. It also raised USD 15m in a Series A from Galaxy Digital Ventures in June.

PlayChip, the Sydney, Australia-based token of sports betting firm PlayUp, said Brett King has joined its advisory board. King is the CEO of mobile banking startup Moven. PlayUp also said it is working on listing compliance with the Nasdaq and the Australian stock exchange regarding its merger with Mission NewEnergy, which was announced in April.

WISeKey International, the Geneva, Switzerland-based cybersecurity firm focused on AI and blockchain, said it hired Hans Schwab as chief information officer. Previously he held several management positions at the World Economic Forum. The company also arranged two financing agreements. (See Funding section.)

ThreeD Capital, the Toronto, Canada-based venture capital firm focused on resources, AI and blockchain, said it hired Jordan Black as vice president of investments. Black joins from Metalyfe.com, a company which developed a blockchain internet browser.

In August, ThreeD raised a more than planned CAD 1.3m (USD 996,892) in a private placement of 13.2m shares and warrants at CAD 0.10 each. Earlier the company said it planned to raise as much as USD 1m. 

Other hiring included Versus Systems, Xceedance and Chain That and Cannabis Science


DATA

Read Ibinex’s recent report on the global cryptocurrency market here.


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