NEW YORK, Mar. 7 (Korea Bizwire) — Arbitrade, a cryptocurrency exchange and mining company, will acquire its partner company, Cryptobontix, in an acquisition that will be completed later this month.
Arbitrade’s management, having built the board of both companies, will now operate both entities as one operation and will keep the same management and board of directors.
Cryptobontix is the owner/operator of five digital cryptocurrencies that will be backed by gold, other bullion, other cryptocurrencies and cryptocurrency mining. A spokesman for Cryptobontix explained it will tie traditional mining for bullion to cryptocurrency mining. The first four tokens in that which Cryptobontix refers to as their Ingot Family of Tokens is Dignity (DIG, formerly Unity Ingot UNY), Namaste (NAM), Orectic (ORE), and Honor (HNR). All four tokens will be backed by gold, silver, platinum and palladium respectively in the same order and have a locked dollar value of $1, $2, $3 and $4 consecutively. Each of these four tokens will commence operations starting with 5,000 mining rigs each and the company hopes to have all 20,000 in operation not later than May of this year.
Describing its mining formula a spokesperson said the company uses 50% of daily mined proceeds which is used to pay for the backing of the token whether bullion or alternative cryptocurrencies; meanwhile, 20% is used to purchase more mining rigs – which creates a growth factor – while 15% is used to support the token’s markets and a further 15% is used for operational expenses.
The company expects to have over 1,500 cryptocurrency mining rigs operating online by April 1, 2018. At today’s earnings and current cryptocurrency prices, the 1,500 mining rigs have the potential to generate approximately $250,000 per month according to the company’s mining consultant. Given yesterday’s announcement, Arbitrade is aggressively seeking as many cryptocurrency mining rigs as possible to fulfill all 40,250 rigs planning to officially launch entire operation.
ARBITRADE, through its proprietary software and strategic partnerships, plans to be in all segments of the cryptocurrency business, including currency mining, trading (The ARBITRADE Exchange) gift cards, debit cards, money transfer and Point of Sale processing.
Marston Webb International
T: (212) 684-6601, C: (917) 887-0418
Source: Arbitrade via GLOBE NEWSWIRE