06:57:53 EDT Thu 25 Apr 2024
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Rockshield Capital Corp
Symbol RKS
Shares Issued 45,912,855
Close 2018-01-10 C$ 0.63
Market Cap C$ 28,925,099
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Rockshield names blockchain company investments

2018-01-11 02:31 ET - News Release

Mr. Dave Doherty reports

ROCKSHIELD CAPITAL PROVIDES BLOCKCHAIN INVESTMENT PORTFOLIO UPDATE

Rockshield Capital Corp. has provided an update on the various blockchain investments it has made to date.

Over the past six months, Rockshield has been diligently reviewing countless opportunities in the blockchain and cryptocurrency industry and, to date, has invested in a number of blockchain companies that it thinks are best positioned to capitalize on this emerging global industry. Leveraging the company's professional network, the company has gained access to a number of investments at early-stage private rounds that are attractively priced and should position Rockshield to capture significant value appreciation as these companies expand operations and go public.

As the industry is still in its infancy, the company has decided to take a portfolio approach, spreading the company's investments across a number of companies, often providing seed capital. It has limited the company's investments so that no single position represents more than 4 per cent of an investee company. Below is a quick summary of the blockchain companies the company has invested in to date.

Neptune Dash Nodes Corp.

Neptune Dash Nodes will be the first listed company to own and operate dash masternodes. Dash is a digital currency that was built on the bitcoin code base, but improves on bitcoin by enabling instant and private payments and offering transactions that take seconds rather than minutes to clear. The company exclusively invests in the dash digital currency ecosystem by building and operating dash masternodes, offering a dual revenue model by receiving variable yield from owning and operating dash masternodes, while getting exposure to dash currency appreciation as well. Dash has assembled a very strong board and management team, including with some of Canada's leading digital currency and blockchain pioneers, including Guy Halford and Jackson Warren, founders of BTL Group.

Hyperblock Technologies Corp.

Hyperblock Technologies is a diversified blockchain company in the United States providing server hosting, server sales, self-mining, hash rate sales and cryptocurrency trading. It is led by a best-in-class management team, including chief executive officer Sean Walsh, who has been mining bitcoin at commercial scale since 2013. Its Project Northwest is one of the largest blockchain data centres in North America with 20 megawatts of production in a 240,000-square-foot facility with a guaranteed electricity contract with an all-in delivered fixed cost of 3.3 U.S. cents per kilowatt-hour. Project Northwest is the only hash rate supplier to the bitcoin website and has a proven record of generating EBITDA (earnings before interest, taxes, depreciation and amortization) -- profitable each quarter since inception (first quarter 2016) even when bitcoin was below $400 (U.S.).

Atlas Cloud Enterprises

Atlas Cloud Enterprises is a publicly listed bitcoin mining company with a wholly owned state-of-the-art 32,500-square-foot property located in Washington State. The company has secured access to low-cost hydroelectric power of 2.6 cents per kilowatt-hour making it one of the lowest-cost mining operations globally. The initial three megawatts will be built out and completed in second quarter 2018 and will operate about 1,800 machines generating 24.1 petahash (ph/s) of mining capability. The following two mw will be expanded in 2019 bringing an additional 16.0 ph/s. The company is actively looking to expand operations and has identified 30 mw of potential opportunities throughout North America. Atlas Cloud is led by an experienced management team with over 30 years of IT (information technology) operational experience.

DMG Blockchain Solutions

DMG Blockchain Solutions is a full-service blockchain and cryptocurrency company that manages, operates and develops end-to-end digital solutions to monetize the blockchain ecosystem. DMG has highly scalable revenue streams (currently more than $400,000 per month), including cryptotransaction processing, blockchain software development and other digital products. The company is strategically positioned in Japan, the world's largest and the first regulated cryptocurrency market, representing over 50 per cent of trading volume. The company is launching a second state-of-the-art blockchain transaction processing (bitcoin mining) hosting facility in Western Canada. DMG is led by an experienced team of proven bitcoin/blockchain tech executives.

VS Blockchain Assembly Inc. (a victory square company)

VS Blockchain Assembly is a technology and financial advisory firm that accelerates early-stage technology companies with game-changing blockchain initiatives. Blockchain Assembly focuses on designing and deploying innovative token-based capital solutions for technology firms with transformative market-leading potential. The team helps businesses raise capital through comprehensive tokenization strategies, including delivering initial coin offerings to the global crypto market. Blockchain Assembly provides a full range of services in strategic investment, innovation and business advisory services to help guide the company's clients through the complexities of the cryptocurrency market. Blockchain Assembly was spun out of Victory Square Technologies, a leading technology incubator.

Big Wind Capital Inc.

Big Wind Capital announced that it has entered into an acquisition with Hill Top Security Inc. (HTSI), pursuant to a series of transactions whereby the company will license 100 per cent of the assets of HTSI through an exclusive, perpetual, worldwide, royalty-free licence and acquire 49 per cent of the shares of common stock of HTSI. HTSI is an enterprise software and service company headquartered in the Commonwealth of Virginia that specializes in creating solutions to provide key organizational stakeholders with accurate and timely business intelligence to increase security posture and reduce risk. HTSI has a unique, military-grade, cybersecurity platform for small- to medium-sized businesses, comprising blockchain event validation, cybertagging, incident response and rapid restoration.

Future investments

The company continues to believe that blockchain and cryptocurrency are in their infancy and will be proved to be a high-growth sector with significant disruptive potential. As such, the company continues to explore additional investment opportunities within the sector as the company looks to build a diversified portfolio to help mitigate the company's risk. The company is currently performing due diligence on two private cryptocurrency exchanges and other blockchain-enabled technology platforms and distributed ledger companies.

Dave Doherty, president and chief executive officer, said: "We are extremely pleased with the portfolio of blockchain companies we have invested in, as we think we have backed some of the best management teams in the business, with professional and scalable operations, that are well positioned to prosper within the blockchain industry. We view blockchain as a highly disruptive growth industry with tremendous potential and will continue to evaluate opportunities within the sector. In addition to continuing to screen for attractive investment opportunities, the company is reviewing opportunities to unlock the value of our private holdings potentially by way of a spinout into separate public market vehicles in order to generate maximum shareholder returns."

Rockshield Capital Corp.

Rockshield Capital offers investors a chance to gain exposure to early-stage seed investments in companies they typically would not get access to. Leveraging the vast professional network and experience of the management, Rockshield reviews hundreds of deals a year and chooses those which have the best return potential under the current market environment.

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