Following this year ’ s huge bitcoin rally, a bubble has actually established in the stock exchange that the majority of cryptocurrency traders might not recognize with. Business are stating themselves to be blockchain-based in order to ride the buzz train to greater stock costs. The current example of this is a Hong Kong start-up without any incomes which leapt in worth about 1,000% this year.
Have We Reached Peak Blockchain Hype?
UBI Blockchain Internet, Ltd. (OTCMKTS: UBIA) does not have any substantial operations and simply 18 workers inning accordance with records at Yahoo Finance. In spite of this the business is now worth about $1.2 billion, obviously just thanks to its name which integrates the dotcom bubble’s leading buzzword with today’s.
Previously, it was participated in creating a suite of modular, self-contained, automated, and environment regulated systems for dispersed production of energy. The business was previously called JA Energy and altered its name to UBI Blockchain Internet, Ltd. in November2016 It runs as a subsidiary of Almost Never Films Inc.
Now, the business prepares to offer an additional 72.3 million shares owned by its magnates like Chief Executive Officer Tony Liu, regulative filings expose. Bloomberg press reporters attempted to reach UBI Blockchain Internet, Ltd. management for remark however discovered that the business ’ s contact number is detached.
Apex of Saliency
UBI Blockchain Internet, Ltd. declares in its filings with the United States Securities and Exchange Commission that it is establishing an option based upon blockchain innovation “to trace a food or drug item from its initial source within the context of the Internet of Things to the last customer.”
At least one service specialist doubts this is anything aside from buzz. Charles Lee, a teacher of management and accounting at Stanford University, commented: “The profile of this business is frightening. Blockchain is right at the peak of saliency today. You have this issue due to the fact that it’s tough to confirm anything — the innovation, the reality that it’s in China. You definitely do not wish to own this stock.”
The last Hong Kong based business we reported on for altering its name, ‘Long Blockchain Corporation’ a minimum of might most likely make you an ice tea at the end of the day.
Should equip financiers rely on any business that has blockchain someplace in its name? Inform us exactly what you believe in the remarks area listed below.
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The post Peak Blockchain Hype? Firm With No Revenues and No Product Is Worth $1.2 Billion appeared initially on Bitcoin News.