The trend of blockchain-related announcements from Chinanet Online Holdings Inc (NASDAQ:CNET) continues. Today, the advertising company announced that it entered into an agreement with Jingtum Technology and Ford Tree to establish a new joint venture company to research and develop blockchain technology and its applications for ChinaNet’s blockchain technical and business units.
Chinanet shares reacted to the news, with investors sparking the stock on an almost 20% upturn.
According to the Agreement, Jingtum’s Chief Technology Officer and other leading experts will be involved in the establishment of the new JV. The R&D team under the new JV will help ChinaNet design the underlying foundation of unique layered blockchain architecture, develop the cross-chain functionality between the principal and subordinate chains, realize the circulation of certain assets between different chains, design intelligent contract mechanisms to support complex logic, and complete the cloud service model and other important underlying technology. The framework of this platform will have an on-line beta test in February.
Ford Tree will be responsible for creating and reviewing the operating model for blockchain applications. Ford Tree has a proven track record in developing and operating blockchain applications, especially in the area of digital assets.
ChinaNet CEO Handong Cheng commented, “The establishment of the new JV is an important and significant step for ChinaNet to further extend and develop our blockchain technical strategy […] We now have set up a clear timetable for the development and implementation of blockchain technology. Our existing platform will further integrate new technologies and applications developed by the new JV into our CloudX artificial intelligence and core business ecosystem. The new JV will provide strong technical support for the ultimate purpose of creating a value sharing ecological environment for ChinaNet.”
ChinaNet is engaged in the provision of media development and advertising platforms. It operates through the following segments: Internet Advertisement, Technical Service, (Television) TV Advertisement, Bank Kiosk, and Brand Management and Sales Channel Building.