Blockchain and cryptocurrency company DMG Blockchain Solutions (DMG Blockchain Solutions Stock Quote, Chart, News: TSXV:DMGI) has closed on its acquisition of Silicon Valley-based analytics company, Blockseer. DMG says the move shores up its cryptocurrency forecnsics and real-time risk scoring for cryptocurrency compliance and anti-money laundering.
AI and blockchain company Blockseer offers data analytics concerning the movement of digital currencies, having provided services to law enforcement agencies as well as Ethereum blockchain data for blockchain.info, one of the world’s largest cryptocurrency wallet providers.
The terms of the acquisition has DMG paying ~$2.6 million in cash and 7.7 million common shares of DMG for Blockseer, which was founded in 2015. DMG CEO Daniel Reitzik says Blockseer is a good fit for the company.
“To date, DMG has received recognition as a market leader in the crypto mining space, and now with the Blockseer acquisition, DMG can claim leadership in the blockchain development arena and deliver on its commitment to be a diversified blockchain company,” says Daniel Reitzik, DMG’s CEO and Director, in a press release.
“Blockseer is not a single blockchain application, but a blockchain development engine for multiple applications with well-known global customers. We believe that the Blockseer team is amongst the most talented in the industry today, and we welcome Dr. Danny Yang and the Silicon Valley team to DMG,” said Reitzik.
DMG is currently working to complete its Phase 1 cryptocurrency mining facility in Vancouver, which is expected to accommodate 40 megawatts of mining power by mid-year, with the longer-term projection of up to 85 MW. DMG says it will run its Mining-as- a-Service operations out of Phase 1, along with conducting its own currency mining.
Blockseer’s intellectual property contains two US provisional patents, one for a blockchain-based data provenance, permissioning, compliance and access control network and the other for off-network identity tracking in anonymous cryptocurrency exchange networks.
Blockseer’s advisors include Andreas Weigend, Bill Tai, Stephen Sorkin, Vas Bhandarkar, Phil Porras, and Brian Klein, while its influential shareholders include Litecoin founder Charlie Lee.
Disclosure: DMG is an annual sponsor of Cantech