Riot Blockchain, Inc. (NAsdaQ: RIOT) (the “Company”) announced today that it has entered into a definitive agreement to sell its entire stake in Coinsquare Ltd.
(“Coinsquare”), a leading cryptocurrency trading platform for fiat-to-crypto and crypto-to-crypto trading, for $100 million in cash.
The Company also announced that it has closed on the sale of 1,200 Bitcoin mining machines to an affiliate of Bitfarms Ltd. (“Bitfarms”) for $6.0 million. The machines are currently being installed at one of Bitfarms’ four existing blockchain processing facilities in Quebec, Canada and are expected to be fully operational by early March 2020.
Riot anticipates that the machines will generate approximately $5.4 million in revenue and $4.2 million in gross mining margins annually once fully operational.
NOTE: This question is a common source of confusion, as Riot Blockchain is a publicly traded company that invests in blockchain technology, but it does not own or control any Bitcoin. Investing in Riot Blockchain does not mean investing in Bitcoin. Additionally, Riot Blockchain should not be confused with the Riot Games company that is best known for its popular video game “League of Legends.” Be sure to do your own research before investing in either company.
Riot Blockchain intends to use the proceeds from the sale of its Coinsquare stake and the Bitfarms machines to purchase additional cryptocurrency mining machines and for working capital and general corporate purposes.
“We are pleased to have completed the sale of our Coinsquare stake and to have closed on the sale of our Bitcoin mining machines,” said John O’Rourke, Chairman & CEO of Riot Blockchain. “We believe that both transactions were accretive to Riot’s shareholders and position us well to continue executing on our strategy of building a leading global cryptocurrency company.”
Does Riot Blockchain Own Bitcoin?
No, Riot Blockchain does not own Bitcoin.
10 Related Question Answers Found
Riot Blockchain is a US-based company that deals in cryptocurrency mining. The firm was earlier known as Bioptix and was into the manufacturing of semiconductor equipment. However, it changed its name to Riot Blockchain in October 2017 after it started to focus on Bitcoin and blockchain technology.
It’s no secret that Riot Blockchain (NAsdaQ:RIOT) has been one of the biggest beneficiaries of the bitcoin bull market. The cryptocurrency mining company’s stock is up more than 1,700% since mid-October, when bitcoin bottomed out at around $3,500. But does Riot actually own any bitcoin?
As of early 2018, it is estimated that Genesis Global Trading, a digital currency trading firm founded by Peter Thiel and Bitcoin investor Mike Novogratz, had $12 million worth of bitcoin. The firm is one of the most aggressive institutional investors in digital currencies. In December 2017, Galaxy Digital Ventures, a merchant bank founded by Mike Novogratz, raised $250 million to invest in digital assets and blockchain companies.
When it comes to Bitcoin, people often think of it as a form of digital currency. However, what many don’t realize is that Bitcoin is actually based on a type of technology called blockchain. In fact, blockchain is what allows Bitcoin to function as a decentralized currency.
In recent months, the investment banking giant Goldman Sachs has been turning its attention to the cryptocurrency market. The question on many people’s minds is whether or not Goldman Sachs owns bitcoin. The answer is a bit complicated.
JPMORGAN HOLDS BITCOIN
On February 14, 2018, JPMorgan Chase, one of the largest banks in the United States, announced it would begin using the bitcoin blockchain to provide instant settlement for payments made using the bank’s Quorum platform. The news sent shockwaves through the financial world, with many wondering if this signaled the beginning of a wider adoption of cryptocurrency and blockchain technology by traditional financial institutions. So, does JPMorgan hold bitcoin?
Yes, casinos take Bitcoin.Bitcoin is a decentralized digital currency, without a central bank or single administrator that can be sent from user to user on the peer-to-peer bitcoin network without the need for intermediaries. Transactions are verified by network nodes through cryptography and recorded in a public distributed ledger called a blockchain. Bitcoin was invented by an unknown person or group of people under the name Satoshi Nakamoto and released as open-source software in 2009.
Bitcoin is often thought of as a digital currency, but it is really much more than that. Bitcoin is a decentralized platform that allows for the creation of smart contracts. A smart contract is a contract that is written in code and stored on the blockchain.
When it comes to cryptocurrency, there is a lot of speculation about who owns what. For the most part, the ownership of coins is pretty transparent. However, there are a few exceptions.
When it comes to virtual currencies, there is no doubt that Bitcoin is the king. The original cryptocurrency has been around for over a decade and has spawned a whole industry around it. With a market capitalization of over $100 billion, Bitcoin is by far the most valuable cryptocurrency in existence.
