|Gunpowder Invests in BitBlox Technologies Inc.|
2018-01-08 06:58 MT - News Release
Toronto, Ontario--(Newsfile Corp. - January 8, 2018) - Gunpowder Capital Corp. (CSE: GPC) (CSE: GPC.PR.A) (OTCQB: GNPWF) (FSE: YS6N) ("Gunpowder" or the "Corporation") announced today that it has entered into agreements with BitBlox Technologies Inc., ("BitBlox") a new generation Cryptocurrency Mining and Technology Company focused on the mining of Ethereum, BitCoin and Zcash cryptocurrencies and the development of cryptocurrency technologies.
Next generation cryptocurrency mining is a high value enterprise approach using computing and cryptography to solve complex mathematical transactions. Successfully verified transactions get added to a public ledger, more commonly known as the blockchain. Individual blocks added by cryptominers, like BitBlox, are called a proof of work (POW) and results in the release of new currency or "coins" — which are the incentive for miners participating on the network.
Gunpowder Capital Corp., has participated in BitBlox's recent non-brokered Token Unit financing which was sold directly by Bitblox to accredited investors. Each Token Unit consists of one Token and one common share purchase warrant, which is automatically exercised for no additional consideration into one common share of Bitblox immediately prior to a liquidity event of Bitblox. The Token also has the right, on a pro-rata basis, to participate in Bitblox's profit sharing program, which can reach up Thirty-five percent (35%) of the quarterly profit of Bitblox as determined by Bitblox's Board of Directors.
Gunpowder purchased 100,000 Token Units at price of $0.05 CDN per Token Unit for a total commitment of Twenty Thousand ("$20,000.00") CDN. BitBlox raised a total of Three Hundred Sixty-Three Thousand Dollars ("$363,000.00") CDN in this recent round.
GPC has also been retained by BitBlox for a fee of Five Thousand ("$5,000.00") CDN per month to provide BitBlox back office administration support. Commencing at some point in Q1 of 2018, it is anticipated that BitBlox will also retain GPC to act as a financial advisor to BitBlox.
Mr. Paul Haber Stated: "Cryptocurrencies are perhaps the most exciting sector in the markets today and we are extremely pleased to be working with BitBlox Technologies Inc. We feel that Cryptocurrency Mining is a big opportunity for those with the right strategy and BitBlox has an effective strategy in place to reduce the costs associated to power a mining operation which can be vast. Between the costs of dedicated hardware, the power and cooling needed to support it, and the connectivity needed to contact Cryptocurrency networks, there's a balance to find between the costs of mining and the potential gains. We feel BitBlox has found that balance and that BitBlox has an effective strategy in place to cap the costs associated in the mining process and therefore we anticipate that BitBlox has the potential in becoming highly profitable faster than its competitors."
About BitBlox Technologies Inc.
BitBlox Technologies Inc. is building a high value cryptocurrency enterprise. BitBlox mines cryptocurrencies, such as Ether and ZCash, and offers value-added technology services for the cryptocurrency market, such as crypto-mining proprietary software.
Offering a complete ecosystem of value-creation, BitBlox cryptocurrency mining will provide the basis for an innovative token product that is monetized according to mining profit margins. A percentage of these profits will be invested in the development of a proprietary Artificial Intelligence ("AI") based technology. Overall, BitBlox takes an approach that enables the company to scale, and respond to changing conditions, within the still-emerging cryptocurrency industry.
Part of a wave of emerging technologies, cryptocurrencies are indivisible from a new virtual economy that is powered in part by smart contract and other AI-based integrations. Cryptocurrency and value mining are central to this new paradigm. Taking a robust and diversified business approach, BitBlox Technologies Inc. is poised to capture value in successive phases as this industry continues to scale.
For more information please visit: www.bitbloxtechnologies.com.
About Gunpowder Capital Corp.
Gunpowder Capital Corp., is a merchant bank and advisory services firm based in Toronto, Ontario, Canada. Gunpowder invests in both publicly traded and private businesses that have successful management teams and attractive economic models. Gunpowder partners with these businesses to support their growth initiatives with its proven methodology of appropriate financing and structured exits. Gunpowder offers debt financing, including mezzanine and bridge loans, equity financing and advisory services. Gunpowder is also building a portfolio of companies in which it takes a long term position and view. For more information please visit www.gunpowdercapitalcorp.com.
For further information please contact:
Mr. Frank Kordy
CEO & Director
Gunpowder Capital Corp.
T: (647) 466-4037
Mr. Paul Haber
Gunpowder Capital Corp
T: (416) 363-3833
Information set forth in this news release may involve forward-looking statements under applicable securities laws. The forward-looking statements contained herein are expressly qualified in their entirety by this cautionary statement. The forward-looking statements included in this document are made as of the date of this document and the Corporation disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by applicable securities legislation. Although Management believes that the expectations represented in such forward-looking statements are reasonable, there can be no assurance that such expectations will prove to be correct. This news release does not constitute an offer to sell or solicitation of an offer to buy any of the securities described herein and accordingly undue reliance should not be put on such. Neither CSE nor its Regulation Services Provider (as that term is defined in the policies of the CSE) accepts responsibility for the adequacy or accuracy of this release.
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