Mr. Levy Cohen reports
WELLFIELD TO LAUNCH PLATFORM UPGRADE FOR TRADEWIND, PURSUE SPIN-OUT
Wellfield Technologies Inc. is nearing the launch of a major platform upgrade, which management believes is poised to revolutionize the institutional digital gold market. Acquired by Wellfield in 2023, Tradewind's VaultChain Gold sets the standard for digital gold, offering digitized ownership of gold for custodial participants of the Royal Canadian Mint.
VaultChain Gold stands out as the only blockchain-based gold with digitization, storage and physical redemption directly managed by a sovereign mint. Currently $170-million worth of physical precious metals are digitized on the Tradewind Ledger.
The upcoming Tradewind Ledger upgrade integrates a suite of next-generation trading solutions, creating a comprehensive gold trading marketplace tailored for institutional investors and their clients. Key features of this new platform include:
- Spot, yield and volatility trading solutions;
- Instantly settled trades with no counterparty risk;
- Low transaction costs;
- Physical delivery with a sovereign mint;
- Global accessibility 24/7.
Since its acquisition of Tradewind, Wellfield has been diligently developing this new platform and business model, which is now operational on the Tradewind Ledger testnet, with public launch anticipated before the end of the year.
Levy Cohen, chief executive officer of Wellfield, shares: "We acquired Tradewind because we recognized the intrinsic value of VaultChain Gold, which has set the global standard for digital gold. By combining VaultChain Gold with our next-generation trading infrastructure, we have a unique opportunity to enhance this enduring and highly liquid investment and transform gold into a productive asset with new utility and value propositions. This recent milestone is a critical step as we focus on launch and execution through the end of the year."
Exploring independence to unlock value
Aiming to unlock significant value for the company's shareholders and other stakeholders, management is actively exploring opportunities to establish Tradewind as an independent entity (the strategic opportunity). The company is considering various strategic alternatives that would allow Wellfield to retain a significant controlling interest in Tradewind, strengthen Wellfield's balance sheet and enable Wellfield management to focus its efforts beyond gold and advance its decentralized finance technologies within the blockchain space. Such strategic alternatives may include, but are not limited to, a spinout public listing of Tradewind, strategic partnerships with third parties or other transactions or reorganization. Management is already in active discussions with third parties to execute this strategy.
Wellfield believes that the strategic opportunity will increase shareholder value by allowing capital markets to ascribe value, and provide additional capital, to Tradewind independently of Wellfield's core business, providing an opportunity to Tradewind to be financed and developed on its own with independent management and governance. Additional details of the strategic opportunity will be released as more information becomes available.
Mr. Cohen commented: "We are highly confident that VaultChain Gold, alongside our sophisticated infrastructure and trading solutions, presents a unique and compelling offering in the burgeoning digital gold ecosystem. As we prepare to launch the new platform later this year, we believe this strategic direction will empower Tradewind as an independent entity to seize untapped opportunities and deliver significant value to our shareholders."
About Wellfield Technologies Inc.
Wellfield Technologies is a leading fintech company specializing in innovative solutions leveraging blockchain technology. Its platform Coinmama (Web and mobile app) provides seamless access to the cryptocurrency market for over 3.5 million registered users across 180 countries. The company offers disruptive on-chain and Web3 secure and friendly self-custody solutions through Coinmama. Additionally, Wellfield operates Tradewind Markets platform to digitize and trade real-world assets, including the company's flagship VaultChain Gold and VaultChain Silver products. Expanding the company's offerings for institutional clients, the company presents Brane Trust aiming to operate in Alberta, Canada's, second qualified digital asset custodian.
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