Silver Spring, MD, Oct. 11, 2017 (GLOBE NEWSWIRE) -- BTCS Inc. (OTC: BTCS) (“BTCS” or the “Company”), a blockchain technology focused company, announced today it has secured $1,000,000 in financing, which includes $250,000 (59.38) in bitcoin.
“This financing represents a major milestone in the ongoing evolution of our Company,” stated Charles Allen, CEO of BTCS. “With the opportunity in the burgeoning blockchain space is still in its infancy, our planned merger with Blockchain Global Ltd. (“BGL”) positions us with a diversified business model that sets the stage for market leadership globally, and this financing represents a strong commitment to move forward.”
Under the terms of the agreement, BTCS has closed on the first $100,000 (the “First Closing”) of the financing. BGL funded $250,000 in bitcoin. The balance of the funding is to be released upon the Company’s filing of Form 10-Q for the period ended June 30, 2017 (the “10Q”); provided, however if the Company fails to file its 10Q within two weeks from the First Closing, unless otherwise extended by one of the investors that invested cash, the escrow agent will be required to return the $650,000 remaining in escrow and the Company will return all the bitcoins. The full terms of the financing are detailed in a Form 8-K filed with the SEC on October 10, 2017.
Additional conditions of the planned merger, disclosed in a press release issued on August 21, will be met upon the completion of the financing, including the waiver of anti-dilution protections by four BTCS shareholders and the settlement of all of BTCS’ outstanding debt.
Sam Lee, CEO of BGL, stated, “We believe joining together the expertise of our organizations through this merger will further our leadership position in blockchain technologies. Completing this financing is the first step in bringing this vision to reality.”
The planned merger is subject to negotiation and execution of a definitive merger agreement, BGL shareholder and board approvals and other customary closing conditions. Further, BTCS can provide no assurances or guarantees it will be able to consummate the planned merger.
About BGL:
Blockchain Global (formally Bitcoin Group) is a leading multi-national pure-play Blockchain Technology company operating across four business segments, including transaction verification services, an institutional exchange platform, a blockchain start-up accelerator, and a blockchain technology consultancy. BGL’s vision is to increase availability and transparency of data to make both public and private sector industries more efficient and integrated. BGL leverages industry IP and knowhow to commercialize blockchain enabled platforms that uplifts trust throughout the digital spectrum.
About BTCS:
BTCS is an early entrant in the Digital Asset market and one of the first U.S. publicly traded companies to be involved with Digital Assets and blockchain technologies. Subject to additional financing, BTCS plans to create a portfolio of digital assets including bitcoin and other “protocol tokens” to provide investors a diversified pure-play exposure to the bitcoin and blockchain industries. BTCS intends to acquire digital assets through: open market purchases, participating in initial digital asset offerings (often referred to as initial coin offerings). Additionally, BTCS may acquire digital assets by resuming our transaction verification services business (often referred to as mining) through outsourced data centers and earning rewards in digital assets by securing their respective blockchains. BTCS is also keenly focused on growth through acquisition and has signed a non-binding letter of intent to merge with Blockchain Global Ltd. The blockchain is a decentralized public ledger and has the ability to fundamentally impact all industries on a global basis that rely on or utilize record keeping and require trust. For more information visit: www.btcs.com
Forward-Looking Statements:
Certain statements in this press release, including those related to the planned merger and filing the 10Q, constitute “forward-looking statements” within the meaning of the federal securities laws. Words such as “may,” “might,” “will,” “should,” “believe,” “expect,” “anticipate,” “estimate,” “continue,” “predict,” “forecast,” “project,” “plan,” “intend” or similar expressions, or statements regarding intent, belief, or current expectations, are forward-looking statements. While the Company believes these forward-looking statements are reasonable, undue reliance should not be placed on any such forward-looking statements, which are based on information available to us on the date of this release. These forward-looking statements are based upon current estimates and assumptions and are subject to various risks and uncertainties, including without limitation those set forth in the Company's filings with the Securities and Exchange Commission, not limited to Risk Factors relating to its digital currency business contained therein and contractual issues that arise in the negotiations of the planned merger. Thus, actual results could be materially different. The Company expressly disclaims any obligation to update or alter statements whether as a result of new information, future events or otherwise, except as required by law.