Quantum Blockchain Technologies Plc – Altcoins Opportunities
18 January 2023
Quantum Blockchain Technologies Plc
(“QBT” or the “Company”)
Altcoins opportunities
Quantum Blockchain Technologies (AIM: QBT), a cryptomining software and hardware developer that aims to increase the efficiency of mining Bitcoin (“BTC”), is pleased to announce that it has made the strategic decision to use its SHA-256 based optimizations to other cryptocurrencies within the Bitcoin “family”.
While the main focus of QBT’s research and development team will remain on developing the fastest and most energy efficient BTC mining products, the board believes that it makes commercial sense to offer the same potential increase in efficiency to miners in the two BTC’s hard. Forks’, namely Bitcoin Cash (“BCH”) and Bitcoin SV (“BSV”) which it has determined is possible without any additional cash or opportunity cost or time diversion from the company’s current R&D efforts.
The main difference between the above currencies is the number of transactions per block processed. While BTC sees an average transaction processed per second (“tps”) of around 4, BCH is typically around 100 tps and BSV can reach 50,000 tps.
The board therefore believes that also for BCH and BSV miners, the attractiveness of QBT’s products will be the increased probability of extracting a block with their use. In the company’s view, this offering will open the market for BCH and BSV to a much wider audience.
The remaining amount of BCH and BSV still available for mining is about the same as BTC, i.e., 1.7 million coins for each currency (out of the total maximum supply of 21 million coins each). The current market price of BTC is USD 21,170[1]1, compared to current market prices for BCH and BSV at USD 122.91 and USD 44.71 respectively Despite the price difference, the company has calculated that there is still a market value of approx USD 2,901 million for these two currencies, which the board believes makes this strategy attractive for the company.
Finally, the mining difficulties for BCH and BSV are slightly lower than for BTC, making their mining far less capital intensive and therefore potentially just as rewarding.
Francesco Gardincommented the managing director and chairman of the board: “Our main goal is and will remain to develop BTC miners. However, the same R&D results can be applied to BCH and BSV, just by retraining our machine learning methods A and B (see announcement dated 15 November 2022), which we believe is a straight forward process. We are confident that our SHA-256 optimizations and the quantum version of SHA-256 will work for mining BCH and BSV without modification, due to SHA-256 being the core mining algorithm for both. Any further opportunities for our proprietary mining technology are always welcome as it has the potential to increase shareholder value.”
This announcement contains inside information under Article 7 of the Market Abuse Regulation (EU) 596/2014, as it forms part of UK domestic law under the EU Act 2018 (“MAR”), and has been disclosed. in accordance with the company’s obligations pursuant to Article 17 of MAR.
For further information please contact:
Quantum Blockchain Technologies Plc
Francesco GardinCEO and Executive Chairman +39 335 296573
SP Angel Corporate Finance (Nominated adviser and broker)
Jeff Keating +44 (0)20 3470 0470
Kasia Brzozowska
Leander (Financial PR)
Christian Taylor-Wilkinson +44 (0) 7795 168 157
About Quantum Blockchain Technologies Plc
QBT (AIM: QBT) is an AIM-listed investment company with a strategic focus on developing technology-related investments, with particular regard to the quantum computing, blockchain, cryptocurrencies and AI sectors. The company has embarked on an aggressive R&D and investment program in the dynamic world of Blockchain Technology, which includes cryptocurrency mining and other advanced blockchain applications.
Dictionary
Hard Fork: The time and block number when the original blockchain forks into a new blockchain that evolves separately from the original. As a result, a new crypto is associated with the hard fork.
1 From and including 17thJanuary 2023at 17.00 (GMT)
