Kryptonite 1 Plc
(“Kryptonite 1” or the “Company”)
Kryptonite 1 is pleased to announce a partial disposal of its holding of tokens in the Qtum ("Qtum") project. The Qtum project provides a Turing-complete blockchain stack, able to execute smart contracts and decentralized applications, comparable to the Ethereum blockchain. However, in contrast to Ethereum, Qtum is built upon Bitcoin's well-established UTXO transaction model and employs a Proof-of-stake consensus mechanism. The Company participated in the Qtum crowdsale on 16th of March 2017. Participation was only available through a small select group of exchanges and as Qtum required its own blockchain infrastructure, the tokens where held on these exchanges until recently.
Kryptonite 1 invested a total of GBP 18,951 for 72,200 Qtum tokens at a price of £0.26 per token in March 2017. The Company has now disposed of 52,082 Qtum tokens, at an average price of GBP 10.98 per token, for a total of GBP 574,356.
Kryptonite 1 is also pleased to announce that it has purchased 4,379 NEO tokens at an average price of GBP 21.52 per token at a total investment cost of GBP 94,230. The purchase was made on secondary markets after the Qtum disposal. The Directors consider that the NEO Project’s smart contract technology has a number of compelling attributes that could make it a significant player in the global blockchain ecosystem. NEO has a vibrant and committed community, a vital part of growing and establishing a thriving decentralised network of participants. NEO tokens can be ‘staked’ to produce ‘GAS’ tokens. These GAS tokens are used as the ‘fuel’ of the platform, for example, to pay for computation or deployment of smart contracts within the NEO network.
George McDonaugh, Chief Executive Officer of the Company commented: "We often see projects that are very compelling but have certain risks attached to it. The Qtum tokens had to be kept on third-party exchanges for many months until the project’s platform fully launched, which exposed it to counterparty and regulatory risks. After a recent successful launch, Kryptonite 1 de-risked part of its position into the NEO project, another Asian-based blockchain platform with an extensive community and great developer traction. The funds from the sale of the Qtum tokens will enable us to continue to invest in similar projects in the future. The token economy has grown exponentially and solid projects that deliver are valued very highly. We look forward to see what 2018 will bring.”
The Directors of the Company accept responsibility for the contents of this announcement.
Kryptonite 1 Plc
+44 (0)16 2467 6716
NEX Exchange Corporate Adviser
Peterhouse Corporate Finance Limited
Fungai Ndoro and Mark Anwyl
+44 (0)20 7469 0930
Market Abuse Regulation (MAR) Disclosure
The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulation (EU) No. 596/2014. Upon the publication of this announcement via a Regulatory Information Service, this inside information is now considered to be in the public domain.