DeFi

Bitcoin treasury firm DeFi Technologies applauds report that sent its shares tumbling

Published

7 months ago

20 June, 2024

Bitcoin treasury firm DeFi Technologies applauds report that sent its shares tumbling

One of the hottest crypto stocks crashed to Earth this week after a report claimed it wasn’t rising “for the right reasons.” Today, the company has vigorously defended its operations.

In its Tuesday issue, the crypto newsletter CoinSnacks presented a extensive marketing campaign undertaken over the past few months to provide positive coverage to DeFi Technologies (DEFI), a Toronto-based crypto fund provider that is publicly traded on Canada’s Chicago Board Options Exchange (CBOE).

DEFI’s share price has risen sharply, as has that of other companies that have adopted Bitcoin as the Treasury’s primary reserve asset, following the massive success of MicroStrategy (MSTR), now the largest institutional holder of BTC. Amid the enthusiasm, some analysts have started more and more bullish on DEFI for fundamental reasons, saying it is extremely undervalued.

On the Monday before the report was released, DEFI was trading at C$3.30, up 202% since May 31. As of Tuesday’s close, the stock was down 35% to C$2.24 per share.

The company’s promotional efforts included a headline-grabbing paid and influencer email campaign, CoinSnacks reported to its 50,000 subscribers, as well as support from crypto investors Anthony Pompliano and Will Clemente popular companies whose market analysis company, Reflexivity Research, was acquired by DeFi Technologies in January.

“Between influencer pumps, CNBC mentions, email campaigns and pumps, there is now strong evidence that the stock is not rebounding for the right reasons,” wrote CoinSnacks.

DeFi Technologies responded to the CoinSnacks report in a Press release during Wednesday’s opening, calling it “defamatory, selective, inaccurate” and containing “misleading statements” about the company’s practices and financial condition.

In fact, the company speculated that the report may have been ordered by short sellers in hopes of driving down the stock price.

DeFi Technologies said it was approached on June 10 by a Canadian investment bank with an underwriting offer of US$15 million, which it said was an unusually low figure given the newfound cash strength. of the company. The same day, DeFi Technology reported that its treasury alone was worth US$60 million, of which US$7.9 million had been converted into Bitcoin.

“The Company believes that the coordinated efforts of short sellers and the publication of misleading reports about public companies constitute market manipulation,” DeFi Technologies wrote.

CoinSnacks later replied to DeFi Technologies, stating that he had “not currently, nor have we ever been paid by a short seller to cover a company,” and that his team did not hold any positions in DEFI.

As of Wednesday’s close, the company’s shares saw a modest 6% rebound, to C$2.30 each.

The CoinSnacks newsletter did not cover DeFi’s Techology’s recent financial performance in detail, instead referring to its days as a penny stock in 2023, when it generated a net loss of CA$18.9 million on the year.

The company cites its profits this year as proof that its shares are a profitable investment.

DeFi Technologies says its assets under management have grown significantly this year alongside the broader crypto market, which also increases the rewards earned from its crypto fund investments. These include exchange-traded funds for Solana, Bitcoin and dozens of other assets where the firm is allowed to stake its stakes and earn a yield, earning an average of 7-10% on the assets it invests in. ‘she holds.

“Our assets averaged about $400 million to $450 million in the first quarter, and in the second quarter they will average between $600 million and $650 million,” said Russell Starr, head of capital markets at DeFi Technologies, at Decrypt.

Those same assets under management (AUM) brought the company’s operating business $10 million in revenue in the first quarter, enough to cover all of its expenses for the entire year, Starr said. Given that its current assets under management are now 50% higher, he said DeFi Technologies expects to earn at least US$15 million for each of the next three quarters in pure profit.

Meanwhile, Starr said the company’s newly launched DeFi Alpha trading desk earned $85 million in the second quarter of 2024 alone. This brings the company’s net profit for the first six months to $100 million. dollars, or more than 20% of its current market capitalization of $477 million.

As a reminder, other crypto companies like Coinbase and Robinhood are currently trading at 30 and 40 times their annual earnings.

“If you look at the article they wrote, they didn’t say anything fundamental,” Starr said. “The reason is that if they took the time to talk about the fundamentals, they would very quickly realize that they had no story. »

Edited by Ryan Ozawa.

Fuente

DeFi

If You Missed BONK and PEPE This Year, This Viral New Crypto Might Be Your Salvation

Published

6 months ago

29 July, 2024

CoinFlix Staff

If You Missed BONK and PEPE This Year, This Viral New Crypto Might Be Your Salvation

Bonk and Pepe appear set to net new investors 10x to 100x returns over the next 12 months. However, cryptocurrencies in the DeFi play-to-earn gaming sector could offer even greater returns. As August approaches, Rollblock is emerging as a standout DeFi play-to-earn gem with the potential to 100x-1000x gains in the fourth quarter and beyond.

The project features an innovative revenue sharing model and exceptional accessibility, attracting players and investors. Additionally, Rollblock’s extensive game library of over 150 titles and enhanced sports betting are further driving excitement for the platform. Cryptocurrency analysts are expecting a sudden surge in demand. 800% a push for Rollblock from the beginning of September.

Bonk remains strong despite market fluctuations

While most well-known cryptocurrencies struggled throughout July, Bonk remained strong. As one of the highest-grossing meme cryptocurrencies of 2024, Bonk rose over 24% in July, while most cryptocurrencies experienced negative fluctuations.

Investors looking to add a relatively safe memecoin to their portfolio should consider Bonk. While Bonk is unlikely to generate explosive gains of 250x to 1,000x from here on out, Bonk could still theoretically provide returns in the 20x to 100x range.

Pepe should see a big rise in the next bull run

Alongside Bonk, Pepe has yet to go through a bull run. This means that there are still substantial gains to be made from Pepe over the next 12 months.

Pepe is down 4% in 30 days, but that shouldn’t worry Pepe investors in 2024. Experts believe Pepe’s best days are still ahead, with crypto analysts predicting a 10x to 50x surge in the next election cycle around November.

In the long term, Pepe could surpass the 100x mark for today’s investors. However, Pepe is a memecoin, and one should exercise caution when investing in purely speculative assets that have no utility.

Rollblock’s Unprecedented Hype Potential Could Push It Past 100x Valuation in Q4

Rollblock is a GambleFi Play-to-Earn token that integrates centralized and decentralized gambling on a single platform. By allowing players to earn rewards through active participation and gameplay, the platform creates a compelling incentive structure that appeals to both casual and competitive players.

With its cutting-edge blockchain technology, Rollblock offers top-notch security that keeps bets and transactions on the platform secure. The platform’s lack of KYC mandates appeals to both users who value anonymity and security.

Rollblock’s revenue sharing model, which allocates up to 30% of casino revenue to RBLK token holders, is a major draw for investors. The model involves burning half of the repurchased tokens and distributing the other half to stakers, increasing the token’s value and encouraging long-term investment.

The platform is also constantly evolving thanks to user feedback which has enabled updates such as the upcoming sports betting feature within the platform’s casino. This addition will complement Rollblock’s extensive game library of over 150 titles, ranging from traditional poker to innovative blockchain-based games.

RBLK is expected to emerge as one of the leading DeFi tokens in 2024. With a price of $0.0172 with impressive growth potential and over 140 million tokens sold recently, Rollblock is on track to enter the top 100 cryptocurrencies by Q4, making today a lucrative time to buy RBLK tokens.

Discover the exciting opportunities of the Rollblock (RBLK) presale today!

Website: https://presale.rollblock.io/

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No spam, no lies, only insights. You can unsubscribe at any time.

Fuente

DeFi

Cryptocurrency sector is experiencing ‘most misjudged moment’ since 2020, says venture capitalist Arthur Cheong

Published

6 months ago

29 July, 2024

CoinFlix Staff

Cryptocurrency sector is experiencing ‘most misjudged moment’ since 2020, says venture capitalist Arthur Cheong

Veteran cryptocurrency investor Arthur Cheong believes the digital asset sector offers long-term holders a golden opportunity.

Cheong, the founder of DeFiance Capital, tell His 171,700 followers on social media platform X indicate that he believes decentralized finance (DeFi) is hugely undervalued.

According to Cheong, DeFi projects are innovating at a rapid pace and leaving traditional financial (TradFi) companies in the dust.

“It’s been a long time since I’ve been this excited about the risk/reward and potential upside of DeFi. This is probably the most misjudged moment since the pre-DeFi summer of 2020, with extremely promising prospects.

I see opportunities not only in OG (original) DeFi, but also in some newer projects that are evolving rapidly and growing at a pace that fintech startups will do anything to match.

The veteran investor also believes that crypto is now here to stay following recent launch from the Ethereum spot market (ETH) exchange-traded funds (ETFs) last week.

“Overall, the floodgates are open and there is no turning back. TradFi asset managers will continue to launch new crypto products because, guess what: there is huge demand for them!”

I expect them to launch actively managed crypto ETFs [in the] coming years. ”

Earlier this month, Cheong laid that it might be a bad strategy for cryptocurrencies to seek mass adoption, believing that digital assets are designed to disrupt several key financial sectors.

“I think we should accept that cryptocurrencies may not be suited for mass adoption like Web2, but rather are optimized for some narrow but very high-impact use cases like stateless global money, cross-border payments, and decentralized finance.

Chasing mass adoption of normies may be chasing the wrong Grail from the start.

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