News Stox acquires CommoLogic to become first regulated ICO prediction...

Stox acquires CommoLogic to become first regulated ICO prediction platform

-

- Advertisment -

When it comes to cryptocurrencies and ICOs, everyone is talking about one thing. Regulation.

Today Stox — an open source, Bancor-based prediction market platform — announced its acquisition of CommoLogic, a B2B company that creates innovative products for the iGaming market. Why is that important? Because acquiring CommoLogic means that Stox just became the first regulated ICO prediction platform.

Through the acquisition, Stox acquires three gambling licenses from CommoLogic: A software license in the UK, an operating license in the UK, and a Class 4 (B2B) license in Malta.

Stox is an Ethereum-based platform that allows users to predict the outcome of a variety of events. We’ve discussed Stox before when it the first member of Bancor’s currency-liquidity network. Stox recently raised $33 million (capped) in 34 hours in its ICO.

So why is it important to have these gambling licenses, and why was an acquisition the best way to acquire them?

“Stox is predicting that they will be needed in the near future,” Ophir Gertner, Founder at Stox, told me.

But it isn’t just about betting that they’ll be needed, it is about ensuring Stox has them before they become scarce.

“If there are too many licenses out there then it’s possible that they won’t allow any more,” Gertner said. “Thus we’re making sure to get them as soon as possible. Most importantly, acquiring the company saves time instead of going through the process of licensing. Now the company can concentrate on developing a product instead of dealing with lawyers and regulators.”

Acquiring licenses isn’t the only reason for the acquisition.

“The acquisition makes Stox the first regulated company in the space,” Gertner said. “This especially highlights the difference between Stox and its two main competitors, Augur and Gnosis, who don’t have these licenses.”

In the world of prediction platforms, Augur is currently trading at $210 million, with Gnosis trading at $120 million. This is interesting in comparison to Stox which, at a valuation of around $25 million, appears to be the victim of a valuation anomaly. Whether today’s acquisition and the associated licenses changes that is yet to be seen.

Financial terms of the acquisition were not disclosed.

Source link

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Latest news

Mercuriex Cryptocurrency Exchange Launches New Utility Token, SURF

MercuriEx Cryptocurrency Exchange, originally developed in 2017, came under new ownership in December 2019. Since taking over the exchange,...

Fungibility: Bitcoin Mixers Favorite Term That No One Understands

Fungibility, perhaps the most important concept when dealing with a decentralized and anonymous currency, but does bitcoin...

Crypto can’t thrive in the real world – but stablecoins can

We can safely say that the hype about cryptocurrencies is pretty much over. The claims of Bitcoin...

How to double your crypto

Most of us have a small gambler deep inside our souls. We love to feel the thrill...
- Advertisement -Stox acquires CommoLogic to become first regulated ICO prediction platform

Cryptocurrency Top Security Risk Concerns: What You Can Do to Protect Your Crypto

A report by CipherTrace revealed that in the first half of 2019, criminals and fraudsters stole more...

How has Bitcoin of America Changed the Cryptocurrency Industry?

Who is Bitcoin of America? Bitcoin of America is a U.S. based digital currency...

Must read

Mercuriex Cryptocurrency Exchange Launches New Utility Token, SURF

MercuriEx Cryptocurrency Exchange, originally developed in 2017, came...

Fungibility: Bitcoin Mixers Favorite Term That No One Understands

Fungibility, perhaps the most important concept when...
- Advertisement -Stox acquires CommoLogic to become first regulated ICO prediction platformStox acquires CommoLogic to become first regulated ICO prediction platform

You might also likeRELATED
Recommended to you