BitGold will be publicly traded after entering into a reverse-takeover with Loma Vista Capital Inc.
According to its website, "BitGold’s mission is to provide global access to gold for Payments and secure savings, making this extraordinary element useful and empowering again." In December, it secured its Seed A funding round worth $3.5 million.
Loma Vista had been previously traded on the Canadian Stock Exchange (CNSX: LOV). It had engaged in mineral exploration, its stated focus now being to acquire new operating businesses. It is currently valued at C$595,850 ($470,721).
As part of the transformation, BitGold has gotten C$6 million ($4.74 million) worth of subscription commitments from Canaccord Genuity Corp, Clarus Securities, Dundee Securities, GMP Securities and Sprott Asset Management. Another C$5 million ($3.95 million) in warrants will be exercised at a future date.
Sprott is a prominent hedge fund with a focus on alternative assets like gold. It has over C$7 billion under management. It formed the lead order in the round, committing C$2 million ($1.58 million). It believes that its clients have much to gain with an internet-based platform for transacting in gold, and is evaluating potential strategic ventures with BitGold. Co-founder Josh Crumb gave his perspective on how his platform serves to make transacting in gold easy, yet secure:
"All aspects of our technological architecture are designed to protect the security of a physical and permanent asset. There are no IOUs and no unbacked credits on our platform, we are simply an operating system for your vaulted gold."
For a detailed list of recent investment and M&A activity in the crypto industry, please visit the DC Magnates Crypto Deal Table.
