TORONTO, February 14, 2022–(BUSINESS WIRE)–Ether Capital Corporation (“Ether Capital” or the “Company”) (NEO:ETHC), a leading technology company focused on participating in the development of the Ethereum and Web 3 ecosystem, is pleased to announce the allocation of an additional 10,240 Ether, currently worth approximately $38 million (US$30 million), to staking.
The company’s total Ethereum staking balance now consists of 20,512 Ether, with a current value of around $76 million (US$59 million). Ether Capital operates a validator infrastructure under an agreement with Figment Inc., an industry-leading blockchain service provider. Based on data from the Ethereum Foundation, current staking rewards reflect an annual percentage rate of around 4.9%. To date, the company has accumulated staking rewards of 91 Ether, or approximately $335,000
The company intends to stake at least 30,000 of its Ether balance, which represents more than 65% of its total Ether balance, before the merger of the current Ethereum mainnet with the Ethereum Beacon chain (the “ merging”). The merger is currently expected to take place later in 2022.
Additionally, the company is announcing the divestiture of an additional 766 Maker Tokens (“MKR”) for gross proceeds of approximately $1.9 million. Proceeds from the sale of MKR will be used for general corporate purposes, which may include purchases of shares under the company’s normal course issuer bid or purchases of Ether in part of the company’s strategy of being a net accumulator of Ether.
Excluding any staking rewards to date, the company’s current Ether balance is 44,061, which reflects a market value of approximately $162 million. As of February 13, 2022, the gross value of the Company’s assets, consisting of its Ether and MKR balance valued as of February 13, 2022 as well as the Company’s Wyre investment valued as of September 30, 2021, was $166 million. . Per Basic Common Share, Basic Common Shares being those outstanding as of September 30, 2021, this represents $4.92 gross asset value per Basic Common Share.
“We are thrilled to announce that we are now staking over 20,000 Ether and are on track to stake the majority of our Ether balance in the coming months,” said CEO Brian Mosoff. “We are firmly committed to our unique strategy of being a net accumulator of Ether and are proud to provide validation and security to the Ethereum network as it transitions from proof-of-work consensus to proof-of-stake.”
About Ether Capital Corporation
Ether Capital is a Toronto-based technology company with the long-term goal of becoming the central business and investment hub for the Ethereum and Web 3 ecosystem. Ether Capital has invested the majority of its balance sheet in the token. native “Ether” utility of Ethereum as a core strategic asset and intends to become a net accumulator of Ether over time. Ether Capital focuses on technology development to further develop Web 3 technologies and generate value for the company. Ether Capital’s management team and board are comprised of crypto natives, leading venture capitalists and capital market experts, which uniquely positions us to identify and capitalize on opportunities. in the digital asset ecosystem.
The contents of this document are provided for informational purposes only and are not provided in the context of an offer of the securities described herein, nor do they constitute a recommendation or solicitation to buy, hold or sell any securities. . The information does not constitute investment advice and is not tailored to the needs or circumstances of any investor. The information contained in this document is not, and should not be construed as, an offering memorandum, prospectus, advertisement or public offering of securities. No securities commission or similar regulatory authority has reviewed this document and any statement to the contrary is an infringement. The information contained herein is believed to be accurate and reliable, however, we cannot guarantee that it is complete or current at all times. Information provided is subject to change without notice and neither Ether Capital Corporation nor any of its affiliates shall be liable for any inaccuracies in the information presented.
The Company’s condensed consolidated financial statements are prepared in accordance with International Financial Reporting Standards (“IFRS”). The Company refers to gross asset value and basic gross common share value, which are non-GAAP financial measures. These non-GAAP measures are not defined by IFRS, do not have standardized meanings and may not be comparable to similar measures presented by other issuers. The Company has presented these non-GAAP measures because management believes they are relevant measures of the value of the Company’s underlying assets. Non-GAAP measures should not be considered alternatives to information presented in the Company’s financial statements.
This press release contains “forward-looking information” within the meaning of applicable Canadian securities laws. Forward-looking information includes, but is not limited to, statements regarding the Ethereum ecosystem. The Company cautions readers not to place undue reliance on these forward-looking statements, which speak only as of the date they are made. Generally, but not always, forward-looking information can be identified by the use of forward-looking terminology such as “anticipates”, “expects” or “does not expect”, “is expected”, “budget”, “planned”, “estimates”, “plans”, “intends”, “at the pace”, “anticipates” or “does not anticipate”, “believes” and similar expressions or indicates that certain actions, events or results “may”, “could”, “would”, “should”, “might” or “will” be taken, occur or be carried out.
Forward-looking statements are based on information available to management at the time the statements are made, management’s current plans, estimates, assumptions, judgments and expectations. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied. by such forward-looking information. These risks and uncertainties include, but are not limited to: general business, economic, competitive, geopolitical, technological and social uncertainties; uncertainties regarding the development and acceptance of blockchain technology (including proof-of-stake and Ethereum 2.0), and the Ethereum platform and the expected timing and impact of the Ethereum network upgrade, the impact of the COVID-19 coronavirus outbreak on the Company, and the other risk factors discussed in the Company’s Annual Information Form dated March 25, 2021, the Risk Factors section in its most recently filed MD&A, the Factors section in its supplement and base shelf prospectus and other filings available on-line at www.sedar.com. Although the forward-looking information contained in this press release is based on assumptions that the Company believes are reasonable as of the date such statements are made, there can be no assurance that the forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in this forward-looking information. Further, the Company cautions readers that the information provided in this press release is provided to provide context to the nature of some of the Company’s future plans and may not be appropriate for other purposes. Accordingly, readers should not place undue reliance on forward-looking information. The Company does not undertake to update or revise any forward-looking information except in accordance with applicable securities laws.
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Chief executive officer