The announcement released by KR1 Plc at 7.00am on 3 July 2018, erroneously stated that KR1 had invested USD50,000 for 10 per cent. of Connext Inc. (“Connext”) through a simple agreement for future equity (“SAFE”) fundraising round. KR1 would like to clarify that the Company’s investment of USD 50,000 in Connext entitles the Company to a minimum equity stake of 1.25 per cent.in Connext, dependent of the valuation of Connext at the next funding round.
The full corrected text of the announcement is below:
(“KR1” or the “Company”)
KR1 is pleased to announce that the Company has made an investment into the Dfinity Project (“Dfinity”). The Company has invested GBP593,000 for a total of 191,681.85 Dfinity Network Tokens (“DFN”). Dfinity aims to be a blockchain supercomputer designed to host the next generation of software. The project was formed to research ways of enabling public decentralised networks to host a virtual computer of potentially unlimited capacity, whilst providing a secure, performant and flexible consensus mechanism. The concept is similar to Ethereum but promises vastly improved performance and, ultimately, unlimited capacity.
Arthur Falls, director of Communications at Dfinity commented: “The Dfinity Project has been fortunate to receive support from KR1. The KR1 team has been invaluable in the facilitation of events in London, and their generous capital contribution was greatly appreciated.”
The Company has also invested USD100,000 into the Flying Carpet Project which is managed by Air Network Ltd (“Air Network”). The Company has invested in return for a yet-to-be-determined amount of discounted Nitrogen tokens (“NTN”) and the Company will also receive a separate allocation of tokens, after the public sale has concluded, in return for advisory services. Air Network is an Ethereum based communication protocol for IoT devices such as drones and automated cars. Before deployment, devices go through a programming and functionality testing phase which takes place on a virtual reality platform. Video content created of the intended flight or route of the device will then flow throughout a tokenised ecosystem, incentivising people participate to in the network and validate the actions and intentions of the device by watching the videos. The project will bring together hardware owners who will connect their IoT devices to the Air Network, developers who will build software allowing these devices to perform tasks and lastly businesses who will use the Air Network application to access different services that require autonomous drones. Use case examples include inspecting coconut palm trees, rooftop analysis, thermal imaging for buildings and houses, transportation and biomass analysis of crops.
The company has invested USD 50,000 in Connext Inc. (“Connext”) through a SAFE agreement (Simple Agreement for Future Equity) for a minimum equity stake of 1.25 per cent., dependent of the valuation of Connext at the next funding round. Connext enables Ethereum projects to implement low cost, near-instant transactions for their users. Participants that set up a Connext Hub will be able to open a payment channel (state channel) with the Hub and transact with any other user that is also connected to the Hub. This will be possible without paying a network fee or needing to wait for block confirmation time. The ultimate goal is for Connext to become an open, developer-friendly, fully community-governed, network for handling two-party transactions of any sort.
Finally, KR1 has invested GBP50,000 for 10 per cent. of Blocksmith Ltd (“Blocksmith”) and has been granted an option to acquire an additional 5 per cent. of Blocksmith for GBP100,000, an option which is open for twelve months. Blocksmith is coming out of Whitesmith, a digital product studio that has been running for more than six years, going from idea to first product iteration with a track record in the start-up and corporate world. Blocksmith is their new offering and aims be a blockchain system development agency, leveraging their previous experience in building products to deliver new solutions to blockchain space.
George McDonaugh, CEO commented:
“We continue to gain access to some very exciting projects early in their journey to market. All the projects listed here have brilliant teams behind them and are breaking new ground in their fields. We’ve also played a crucial role in certain projects at the very earliest stages, as our global network and experience can be of benefit. We look forward to having a closer working relationship with great projects moving forward.”
The directors of the issuer accept responsibility for the contents of this announcement.
+44 (0)16 2467 6716
NEX Corporate Adviser:
Peterhouse Capital Limited
Fungai Ndoro and Mark Anwyl
+44 (0)20 7469 0930