Blockchain firm Valereum said Thursday it was selling its bitcoin mining assets to Vinanz Ltd for a 24% stake in the company as part of plans to acquire and expand the Gibraltar Stock Exchange.
Valereum, which gave no value to the deal, said the sale of its bitcoin assets was dependent on Vinanz’s listing.
Valereum shares fell 13% at 1030 GMT.
The price of bitcoin, the largest cryptoasset token, has fallen by about 70% in recent months since its all-time high of $69,000 in November. It is currently trading at $23,509.
“This is a strategic reorganization to focus Valereum on the acquisition and expansion of the Gibraltar Stock Exchange and the imminent launch of our NFT (non-fungible token) program,” Valereum said in a statement.
“However, this also gives Valereum significant exposure to crypto markets through a significant stake in a company focused solely on crypto mining and distribution.”
Valereum said in January it would buy 90% of the Gibraltar Stock Exchange to create what it called the world’s first exchange to “bridge” stocks and cryptoassets.
Valereum is said to have no representatives on Vinanz’s board.
“The acquisition of Valereum’s BTC miners means Vinanz will start life as an operating company with miners and BTC in its wallet,” said Vinanz chairman David Lenigas.
“The volatile Bitcoin price has seen a bit of a price hike lately, but the Vinanz board sees this as a great time to grow a substantial BTC business,” said Lenigas.
(This story was not edited by DailyExpertNews staff and was generated automatically from a syndicated feed.)