DigitalX secures strategic investment from Blockchain Global

Maria Nikolova

Blockchain Global Limited and associated investors have agreed to invest approximately $4.35 million at 2.7 cents a share.

DigitalX Ltd (ASX:DCC), a company for Blockchain-enhanced software solutions, continues to attract funding. Today, the company announced that it had secured investment of approximately $4.35 million from Blockchain Global and associated investors. Blockchain Global agrees to invest the sum at 2.7 cents per share to acquire an interest of circa 40% of DigitalX.

The investment represents a 28.5% premium on the volume-weighted average price (VWAP) of DigitalX’s shares over the past 5 days.

Under the terms of the agreement, DigitalX has received AUD 300,000 by way of a convertible loan in Bitcoin. This is the first such funding secured by a company listed on ASX. Blockchain Global will subscribe for or procure subscribers for shares, convertible notes and options in DigitalX for up to further AUD 4.05 million. BGL will also have the right to appoint two directors to the DCC board.

This is not the first time that DigitalX collaborates with Blockchain Global. In February 2017, DigitalX confirmed it was moving away from Bitcoin trading services and was instead focusing its operations to its payments application AirPocket. DigitalX has announced a deal with Blockchain Global Limited over the DigitalX Direct platform. The agreement stipulates that DigitalX will receive half of all revenues generated from customers introduced to Blockchain Global and their exchange service

Blockchain Group, formerly known as Bitcoin Group Limited, has been known for the efforts to float its shares on ASX.

After filing several prospectuses, having amended each one in tune with regulatory requirements, Bitcoin Group (which has been poised to list as “BCG”) shelved its plans for an IPO and ASX listings in March 2016. The decision was made after on March 4, 2016, ASX sent a letter to the company, referring to a report by Grant Thornton Australia over whether Bitcoin Group had sufficient working capital to reach its stated objectives. BCG explained back then that the Australian Securities & Investments Commission (ASIC) did not allow forecasts on the Bitcoin price to be used in a corporate working capital assessment. This was the reason for the results of the report having been rejected and the listing plans – abandoned.

In February 2015, ASIC issued a stop order prohibiting Bitcoin Group Limited from publishing any statements with relation to its intention to make an initial public offering of its shares until the lodgement of a prospectus. The regulatory concerns stemmed from publications by the company via a social media application ‘Wechat’ seeking expressions of interest from potential investors to subscribe for shares if there is a proposed listing on the ASX. The publications were made before Bitcoin Group Limited was registered as an Australian company by ASIC and before the filing of a formal disclosure document.

Read this next

Digital Assets

LMAX Digital onboards Bryan Christian and Cassandra Cox to lead sales

Institutional cryptocurrency exchange LMAX Digital continues to undergo a series of changes in its top ranks as it continues to build its presence globally. Two industry veterans, Bryan Christian and Cassandra Cox, have joined the group as its newest sales directors in Europe and USA.

Digital Assets

Cake DeFi introduces Ethereum Staking with 5% returns

Cake DeFi, a Singapore-based DeFi platform, is launching its Ethereum (ETH) staking service for retail and institutional customers.

Retail FX

FX trading rebounds 405pct at Saxo Bank in September

In a volatile market driven by Russia-Ukraine headlines, FX trading volumes through Saxo Bank have rebounded strongly in September to the highest level in three months.

Retail FX

CMC Markets’ stock climbs as H1 revenue to climb +20%

CMC Markets PLC (LSE:CMCX) shares spiked 5.6 percent to 235p in Thursday’s trading after the firm’s trading update for the first half of its fiscal year 2023 revealed results at the high end of company projections.

Retail FX

Interactive Brokers doubles client accounts to 2 million in 24 months

Electronic brokerage firm Interactive Brokers LLC (NASDAQ:IBKR) said its trading volumes took a slight step back in September, an indication that investor confidence is still fairly mixed over the past few months.

Digital Assets

DeFiChain tokenizes Walmart, Unilever, US Oil and Gas Funds

Bitcoin-based DeFi platform DeFiChain is opening up the opportunity for its users to trade crypto versions of Walmart, Unilever, US Oil Fund, and US Gas Fund.

Industry News

The B2Broker B2Core REST API Is Now Live

B2Broker has announced the release of its new REST API, which lets customers use B2Broker’s solutions and services for business purposes.

Executive Moves

CME Group taps Paul Woolman to lead Equity Index, Giovanni Vicioso to lead Crypto

“Our equity and cryptocurrency businesses have experienced tremendous growth in recent years, underpinned by strong customer adoption and continued innovation.”


Sumsub launches document-free KYC for users in India, Brazil, Nigeria and Indonesia

Sumsub has launched one click-KYC for users in India, Brazil, Nigeria and Indonesia in a move that allows businesses to instantly onboard over 2 billion users without requesting their ID documents.