DigitalX issues 1.89m shares following finalization of legal proceedings in ICO case

Maria Nikolova

DigitalX has today issued a total of 1,895,453 shares at a deemed issue price of $0.061551 per share.

Blockchain-based solutions provider and ICO adviser DigitalX Ltd (ASX:DCC) has just announced the issue of a total of 1,895,453 shares at a deemed issue price of $0.061551 per share. 

This happens less than a week after the company said it had finalised the legal proceedings, which related to an Originating Application and Statement of Claim filed by a group of parties relating to an investment made by those parties in an initial coin offering (ICO) to which the company was an advisor. Today’s share issue marks the first tranche pursuant to the settlement deed.

DigitalX explains that the Act restricts the on-sale of securities issued without disclosure, unless the sale is exempt under section 708 or 708A of the Act.

The Company hereby notifies ASX under paragraph 708A(5)(e) of the Act that:

  • (a) the Company issued the Shares without disclosure to investors under Part 6D.2 of the Act;
  • (b) as at the date of this notice, the Company has complied with the provisions of Chapter 2M of the Act as they apply to the Company, and section 674 of the Act; and
  • (c) as at the date of this notice, there is no information:

a. that has been excluded from a continuous disclosure notice in accordance with the ASX Listing Rules; and

b. that investors and their professional advisers would reasonably require for the purpose of making an informed assessment of (i) the assets and liabilities, financial position and performance, profits and losses and prospects of the Company; or (ii) the rights and liabilities attaching to the relevant Shares.

On May 7, 2019, the company said it entered into a settlement deed to provide full release from the applicant’s claims without any admission of liability by DigitalX. Further, DigitalX has released the parties from any and all claims.

DigitalX advises it will be making a cash payment of AU$250,000 within 2 business days and a further cash payment of AU$150,000 plus interest on July 1, 2019. The cash payments will be made out of the company’s existing cash reserves.

The Claim, as announced in September 2018, was for a combined amount of approximately US$1,833,077 plus damages. DigitalX has denied any and all wrongdoing.

Read this next

Retail FX

Overcharts partners with dxFeed for CME Group Market Depth

“More and more traders are using Market Depth while conducting volume analysis. Its primary function is to help traders identify potential support and resistance levels.”

Digital Assets

CoinGecko expands collaboration with CER.live security rating

CoinGecko, one of the earliest crypto data aggregators, has integrated the security score data from the CER.live rating. The trust assessments given to crypto projects will be integrated into their pages on CoinGecko website to draw users’ attention to the importance of security.

Metaverse Gaming NFT

Klaytn taps Parity Technologies to build infrastructure for Klaytn-Substrate

Klaytn has initiated a collaboration with blockchain infrastructure company Parity Technologies to strengthen its tech stack and meet the demands of enterprises looking to harness the crypto technology.

Retail FX

US Retail FX brokers suffer steep fall in client deposits, Trading.com racked up $46K

Retail FX deposits at US brokerages, which have been struggling to eke out a profit in a strict regulatory environment, dropped in March 2022 by $35 million, CFTC data showed.

Retail FX

eToro supports Immutable X (IMX), Livepeer (LPT) and Cartesi (CTSI)

Israeli social trading network eToro has added support for trading three new tokens. Immutable X (IMX), Livepeer (LPT) and Cartesi (CTSI) are the next coins to join eToro’s list of featured digital assets.

Executive Moves

LiquidityBook hires Fintech veteran Jonathan Cross to lead EMEA business

LiquidityBook, a provider of FIX and OMS trading solutions for both the buy and sell-side, has added Jonathan Cross to its business team for the EMEA region.

Retail FX

Interactive Brokers’ traders now have direct access to TradingView

Professional charting and trading platform, TradingView has integrated the US-listed brokerage firm Interactive Brokers as the latest online trading partner.

Digital Assets

This Web3 infrastructure provider is on the verge of a radical upgrade

The crypto industry fueled the anticipation of the arrival of web3 with the introduction of Decentralized Finance, Metaverse, and more. And today, that web3 is finding support from various developers looking to build and develop the space to extract the most benefits out of it.

Digital Assets

Crypto bots: trading assistant 

The cryptocurrency market is a volatile one, with huge gains and dramatic dips. However, the most informed traders can use automated tools to maximize profits while minimizing risks. 

<