$CIIX Cryptocurrency Security Among Between Trading Partners

January 12, 2018

NetworkNewsWire Editorial Coverage: In a global marketplace where Internet-based technologies increasingly allow businesses the means and confidence to work with each other beyond political borders and with a minimum of governmental interference, cryptocurrencies have the potential to create a B2B interdependent financing system — perhaps even a single, common digital currency someday — because of the blockchain technology that underpins cryptocurrency trade. With the beginning of market movement for the new year, cryptocurrency started just shy of $613 billion in total capitalization and climbed steadily toward $750 billion on Jan. 4, showing an exponential rise just since April 2017 when it passed the $25 billion mark. ChineseInvestors.com, Inc. (CIIX) (CIIX Profile) is one of the businesses committed to the development of blockchain-based cryptocurrencies, recently announcing plans to spin-off two of its corporate divisions tied to hemp marketing and the burgeoning legal cannabis industry in order to focus on its cryptocurrency division (http://nnw.fm/5sf8Z). Other companies preparing to capitalize on opportunities in the blockchain sector include MGT Capital Investments, Inc. (MGTI), LongFin Corp. (LFIN), Bitcoin Services, Inc. (BTSC) and Overstock.com, Inc., (OSTK).

ChineseInvestors.com (CIIX) provides innovation in real-time market analysis and educational services in Chinese language character sets, support services for advertising and public relations, and the sale of hemp-based products and other health-related products. Despite China’s prohibitions on trading cryptocurrencies as a regulated central exchange, company CEO Warren Wang stated in an interview last month that many Chinese investors are trading them legally on unregulated “over the counter” platforms that connect individuals to each other. And ChineseInvestors.com showed its own commitment to cryptocurrency by installing a Bitcoin ATM in the lobby of its San Gabriel, California, headquarters (http://nnw.fm/VIa3n). Wang called it the first such automated teller for cryptocurrency within the Chinese community in the United States and said it has generated a lot of traffic.

China serves as an example of the mutual distrust that drives cryptocurrencies’ prospects while relying on so-called “miners” to establish a level of trust in the legitimacy of the exchanges.

Despite the lack of a regulated Chinese exchange to trade cryptocurrencies and what Wang referred to as the Chinese government’s “badmouthing” of bitcoin though its official TV media outlet, the CEO said Chinese-speaking people within China and North America are very interested in buying, selling and trading bitcoin among themselves and he urged entrepreneurs to be patient as the community learns the ropes.

“I believe Chinese investors will be the richest group in the world in (the) next 20 years, … because Chinese middle class are emerging since 2000 when the country opened the door to worldwide people,” he said in an interview with NetworkNewsWire (http://nnw.fm/U2Uct). “Real estate is very expensive and so are labor and rents in China. Investors have a high savings rate. They now would like to make bitcoin and other cryptocurrencies part of their assets.”

Blockchain technology was established on the principle that an unalterable digital ledger of transactions (arranged in blocks) requiring transparency among multiple parties would reduce the risk of fraud and prevent duplication in the transactions. It was proposed as the foundation of an alternative, people’s-run economic system that would not require the security of an established storefront middleman like a bank to uphold the transactions. Critics have questioned it on a commodities basis, searching for an undeniable stability that investors can rely on.

ChineseInvestors.com’s ATM is one example of the company’s commitment to providing cryptocurrency education. The company recently attended a Toronto cryptocurrency roadshow and educational seminar on how to buy, sell and manage the coins, and it produces a daily video from the New York Stock Exchange called ‘Bitcoin Multimillionaire’ that is focused on news about the currency (http://nnw.fm/Lfrx8).

“In an effort to expand its media products, as the first quarter of fiscal year 2018 came to a close, the Company announced that it would be working with Wall Street Multimedia (WSM), an independent news agency located in the NYSE, to produce a daily cryptocurrency video newscast in Chinese, providing timely information and exclusive analysis regarding all aspects of the emerging digital currency world, including specific cryptocurrencies, such as ‘Bitcoin’ and ‘Ethereum,’ industry trends, price movement, blockchain technology, sector-related stocks and ETFs, etc.,” ChineseInvestors.com stated in its most recent 10Q filing in October.

The company has offices in Shanghai, New York and California, and has plans to expand to Canada.

“There’s so many cryptocurrencies from China emerging, or at least on the exchange right now,” Wang said, referring to a sort of anti-governmental sentiment and a “huge demand from (the) Chinese community trying to learn these assets and what (they) are about” that “gives us tremendous opportunity to bring the revenue and profitability to our shareholders.”

Other companies focused on the potential of blockchain’s financial applications include:

MGT Capital Investments (MGTI), which is a Northwestern United States company deeply invested in cybersecurity technologies for mobile and corporate applications. The company is also one of the largest worldwide working in Bitcoin mining and announced agreements in December to secure “reliable and adequate” electrical power in Sweden to begin bit mining operations there by the end of January. (http://nnw.fm/noP3K).

LongFin (LFIN) specializes in structured commodity trade finance worldwide and works to establish markets and ensure liquidity through technological advances. The company stated in the fall of 2017 that it aims to connect 70 FX and spot exchanges with 300 banks through its electronic market platform, and in December made headlines when the acquisition of Ziddu.com sparked a huge cryptocurrency fever-inspired bounce in trading (http://nnw.fm/jRr8I).

Bitcoin Services (BTSC) is another company that performs bitcoin mining services, and began mining its own cryptocurrency known as Dash in early 2017. The company develops and markets blockchain-related software, and created subsidiary CryptoCapital Corp. in the fall of 2017 as a cryptocurrency holding firm, or a digital wallet, that would let users store multiple digital currencies in one place.

Overstock.com (OSTK) solidified its goal of bringing greater transparency and efficiency to capital markets by launching an initial coin offering (ICO), cryptocurrency’s version of a stock initial public offering (IPO), in December through its exchange operator, tZERO. The “pre-sale” phase targeting strategic purchasers began Dec. 18 and a “subsequent sale period” phase seeking agreements with other accredited investors is scheduled to begin Jan. 18. Overstock is the third-most-active corporate blockchain investor worldwide, according to a CB Insights report (http://nnw.fm/Cd39K), and may even consider selling off the retail business to focus on the 10 blockchain companies it owns (http://nnw.fm/Sx0gO).

Amid a worldwide effort to conduct business across borders as seamlessly and transparently as possible, blockchain technology and its financial sector development as cryptocurrencies are building confidence in an alternative economic system built on the need to overcome mutual distrust that exists between trading partners, governments and people in general as they strive to successfully work together.

For more information on ChineseInvestors.com, Inc. visit ChineseInvestors.com, Inc. (CIIX)

About NetworkNewsWire

NetworkNewsWire (NNW) is an information service that provides (1) access to our news aggregation and syndication servers, (2) NetworkNewsBreaks that summarize corporate news and information, (3) enhanced press release services, (4) social media distribution and optimization services, and (5) a full array of corporate communication solutions. As a multifaceted financial news and content distribution company with an extensive team of contributing journalists and writers, NNW is uniquely positioned to best serve private and public companies that desire to reach a wide audience of investors, consumers, journalists and the general public. NNW has an ever-growing distribution network of more than 5,000 key syndication outlets across the country. By cutting through the overload of information in today’s market, NNW brings its clients unparalleled visibility, recognition and brand awareness. NNW is where news, content and information converge.

NetworkNewsWire (NNW)
New York, New York
www.NetworkNewsWire.com
212.418.1217 Office
Editor@NetworkNewsWire.com

Please see full terms of use and disclaimers on the NetworkNewsWire website applicable to all content provided by NNW, wherever published or re-published: http://NNW.fm/Disclaimer

DISCLAIMER: NetworkNewsWire (NNW) is the source of the Article and content set forth above. References to any issuer other than the profiled issuer are intended solely to identify industry participants and do not constitute an endorsement of any issuer and do not constitute a comparison to the profiled issuer. The commentary, views and opinions expressed in this release by NNW are solely those of NNW. Readers of this Article and content agree that they cannot and will not seek to hold liable NNW for any investment decisions by their readers or subscribers. NNW is a news dissemination and financial marketing solutions provider and are NOT registered broker-dealers/analysts/investment advisers, hold no investment licenses and may NOT sell, offer to sell or offer to buy any security.

The Article and content related to the profiled company represent the personal and subjective views of the Author, and are subject to change at any time without notice. The information provided in the Article and the content has been obtained from sources which the Author believes to be reliable. However, the Author has not independently verified or otherwise investigated all such information. None of the Author, NNW, or any of their respective affiliates, guarantee the accuracy or completeness of any such information. This Article and content are not, and should not be regarded as investment advice or as a recommendation regarding any particular security or course of action; readers are strongly urged to speak with their own investment advisor and review all of the profiled issuer’s filings made with the Securities and Exchange Commission before making any investment decisions and should understand the risks associated with an investment in the profiled issuer’s securities, including, but not limited to, the complete loss of your investment.

NNW HOLDS NO SHARES OF ANY COMPANY NAMED IN THIS RELEASE.

This release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E the Securities Exchange Act of 1934, as amended and such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. “Forward-looking statements” describe future expectations, plans, results, or strategies and are generally preceded by words such as “may”, “future”, “plan” or “planned”, “will” or “should”, “expected,” “anticipates”, “draft”, “eventually” or “projected”. You are cautioned that such statements are subject to a multitude of risks and uncertainties that could cause future circumstances, events, or results to differ materially from those projected in the forward-looking statements, including the risks that actual results may differ materially from those projected in the forward-looking statements as a result of various factors, and other risks identified in a company’s annual report on Form 10-K or 10-KSB and other filings made by such company with the Securities and Exchange Commission. You should consider these factors in evaluating the forward-looking statements included herein, and not place undue reliance on such statements.  The forward-looking statements in this release are made as of the date hereof and NNW undertakes no obligation to update such statements.