BTCS Announces Letter to Shareholders from CEO
July 10 2017 - 9:30AM
Marketwired
BTCS Announces Letter to Shareholders from CEO
SILVER SPRING, MD-(Marketwired - Jul 10, 2017) - BTCS Inc.
(OTCQB: BTCS) ("BTCS" or the "Company"), a blockchain technology
focused company, released a Letter to Shareholders updating current
activities and outlining its corporate strategy for 2017, as
follows:
Dear Shareholders,
Our decision to focus our business around blockchain
technologies in 2015 has proven to be a valid thesis with prescient
timing, yet without the ability to secure sufficient capital in
2016, we were unable to realize the potential from this truly
disruptive opportunity.
Recognizing that this opportunity is still in its infancy, we
spent much of the past year focused on restructuring liabilities to
improve our financial position as we seek out acquisition
opportunities and execute on our plan to build a portfolio of
digital assets. To this end, we successfully exchanged
approximately $3.9 million of convertible notes and liquidated
damages for fixed-price Series B preferred stock, entered a
leak-out agreement with the former note holders, and raised $1
million to settle liabilities and provide working capital.
We have taken these steps because we believe the rise of digital
tokens as a new asset class has created a tremendous opportunity
for us to leverage our experience in the sector. One of our most
significant assets in this regard is our seasoned team of industry
leaders who are recognized for their deep relationships with key
players in the space. Our team's value is further enhanced by our
ability to bridge the gap between public company experience and
blockchain expertise, which we believe fills a major talent void in
this burgeoning arena.
Over the past year, the price of Bitcoin surged more than 300%,
while Ethereum has soared more than 2,000% in the last six months
alone. These meteoric rises in value of blockchain technology-based
digital assets, combined with the increasing involvement of major
organizations, such as Goldman Sachs, JP Morgan, and others,
demonstrably proves digital assets are now entering mainstream
acceptance, shedding the negative perceptions that plagued them in
the past.
This shift in acceptance can be seen in the recent successes of
initial coin offerings. Block.one, a blockchain startup, raised
$185 million in five days, breaking the previous record set just a
few weeks earlier by Bancor, which raised nearly $150 million. In
total, initial coin offerings raised more than $500 million in the
first half of 2017.
Moving forward, subject to the completion of additional
financing, we plan to create a portfolio of digital assets, through
participation in initial coin offerings, strategic market
purchases, and by resuming our transaction verification services
business, through outsourced data centers. We are also keenly
focused on the potential acquisition of target opportunities across
the blockchain space.
We believe our track record of identifying opportunities within
blockchain technologies speaks for itself. With your continued
support, and the right forward-thinking financial partners, we hope
to capitalize on these opportunities while the industry is still in
its early days, maximizing the potential for long-term shareholder
value improvement.
On behalf of our management team, I want to personally thank you
for your continued support.
Sincerely,Charles AllenCEO and Chairman
About BTCS:
BTCS is one of the first U.S. publicly traded companies focused
on 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 blockchain space.
The blockchain is a decentralized public ledger and could
fundamentally impact all industries on a global basis that rely on
or utilize record keeping and require trust. BTCS is keenly focused
on growth through acquisition and intends to acquire digital assets
through open market purchases and participation 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, earning rewards in digital
assets by securing their respective blockchains. For more
information visit: www.btcs.com
Forward-Looking Statements:Certain statements in this press
release, including those related to an anticipated merger,
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. 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.
BTCS Investor Relations:Michal HanderhanBTCS Inc.(202)
430-6576IR@btcs.com