Net Element International Inc (NETE) Stock Explodes Over 200% on Crypto Deal
Net Element International Inc (NASDAQ:NETE), a tiny mobile payment stock, has hit the jackpot with the launch of a brand-new business unit focused on blockchain technology. Shares soared by over 300% on the news to hit a peak of $20.60. The stock is now trading lower at over $17 as the market digests the latest crypto company spike.
The Miami-based NETE reveals that it has joined forces with Bunker Capital for the new business unit. The company has big aspirations for the unit, which they say will “become a decentralized crypto-based ecosystem that will act as a framework for an unlimited number of value-added services.”
In other words, the company wants to connect merchants and consumers directly using blockchain technology, while improving the economic efficiency of the transactions. Bunker Capital is on board to develop and deploy the bitcoin technology. In addition, the unit intends to identify and invest into unique projects which “decentralize and disrupt the payment processing industry”.
“We believe that we’re at the dawn of a new evolution where additional digital payment methods are being introduced,” says NETE CEO Oleg Firer. “Introduction of our division focused on blockchain as part of the NASDAQ-listed entity will add transparency and compliance assurance to our investors.”
Meanwhile, Remy Jacobson, CEO of Bunker Capital adds that “Bunker Capital looks forward to working with Net Element and it’s very competent and energetic team to develop new blockchain solutions for the payment services industry.”
NETE joins the list of companies benefiting from the cryptocurrency craze. On December 18, another small fintech company, LongFin shocked investors with a 2600% rise on the news that it bought Ziddu.com, “a blockchain-empowered global micro-lending solutions provider” that transacts only in cryptocurrencies. The CEO became a billionaire overnight.
Indeed, according to CoinMarketCap cryptocurrencies’ total market values have increased from $17.7 billion to over $600 billion in 2017.