Financial Technology stocks LongFin blockchain company after the soaring share price soared 2600%

nWalkout Commentary: Cryptocurrencies recently spurt, priced at more than $ 19,600 for bitcoin and $ 850 for Ethereum, all of which affected the way traditional investors view equities. Shares of financial-technology firm LongFin just landed on the exchange last week, surging almost 2600% after it announced the acquisition of blockchain company Ziddu.com. It now seems as long as the company name contains “bitcoin”, “blockchain” or “cryptocurrency” and other words will prompt a rapid appreciation of the company’s stock.n
nTranslation: Clovern
The climax of cryptocurrencies has come a long way, with bitcoin priced above $ 19,600 and Ethereum up to a record high of $ 850, a situation that appears to be seriously affecting the way traditional investors look at certain stocks, in the cryptocurrency space. Financial technology company LongFin (stock name: LFIN) ushered in the recent news release also hit nearly 2600% soaring value.n

According to a press release, LongFin acquired Ziddy.com, a blockchain global provider of micro-credit solutions. LongFin just last week, landing the exchange to start trading, the release of this news to help its market value reached 70 billion US dollars high.n
LongFin acquired Ziddu.com from Meridian Enterprises for 2.5 million shares of the company. The move, followed by a surge in stock prices, reported that LongFin CEO Venkat Meenvalli was overjoyed because he owns 95% of Meridian Enterprises.n
LongFin’s shares, which went public on the NASDAQ last week, skyrocketed, closing the day at $ 5.15. By the weekend, the stock price has risen to 39 US dollars, during which had reached 129.84 US dollars high, then the price callback to 72 US dollars. The rising trend surprised the company’s chief executive, who told Bloomberg:n
n”There was a frenzied speculation on the announcement of cryptocurrency, which we had not seen before, and the basic problem of this phenomenon will be slowly revealed, but between this crazy deal and the basic situation of the company There is no connection. “n
nThe company’s financial performance dates back to 2015, providing financing options primarily to small businesses and plans to begin offering some blockchain technology services after the acquisition of Ziddu. The company aims to provide microloans using its own cryptocurrency Ziddu tokens, backed by the goods in the borrower’s warehouse as a value reserve for the currency. This encrypted currency can be used to exchange bitcoin or Ethereum before being converted into legal currency. Borrowers will need to repay their loans in cryptocurrencies, and interest rates will float between 12% and 48%.n
LongFin claims to be “a global financial technology company that provides financing and hedging solutions for global importers, exporters and SMEs around the world and supports its services using artificial intelligence (AI) and machine learning” and recently announced One of the many companies that has seen a rise in market cap since using cryptocurrencies or blockchain technology.n
This trend of soaring market capitalization is so significant that analysts believe a quick appreciation of the company’s stock if it adds the words “bitcoin”, “blockchain” or “cryptocurrency” to the company’s name. Riot Blockchain, formerly a biotechnology company, added significant “blockchain” to its company name, with significant increases in market capitalization.n
It is noteworthy that, LongFin IPO application file actually contains a warning that reminds investors to ensure that they can bear all the investment losses. In addition, Krishanu Singhal, chief financial officer, and Raj Mondraty, chief operating officer, both resigned on December 11. However, the size of its trading and stock prices, or has been in a stage of soaring.n

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