Chinese Cloud Technology Company Seven Stars Cloud Group Acquires 27% of Blockchain Company in the United States
December 26, 2017
Chinese cloud technology company Seven Stars Cloud Group Inc. (Seven Stars Cloud Group) has acquired 27% of Delaware Board of Trade Holdings (DBOT) - a major blockchain company located in the United States. Seven Stars Cloud Group, which has global headquarters in Beijing, China, aims to be “the leading provider of artificial-intelligent, blockchain and fintech-powered, digital finance solutions”. It offers a “closed trade ecosystem for buyers and sellers” which eliminates the necessity for third parties to manage transactions.
Seven Stars Cloud Group was established by Brian Wu, who was made the company’s CEO earlier this year. The acquisition saw DBOT experience a 25% increase in stock value after Nasdaq trading. The company, which specializes in developing trading systems for use in the financial industry, claims to be the “first and only blockchain based Alternative Trading System fully licensed by the Securities and Exchange Commission (SEC)”. However, the SEC has yet to confirm the deal, and the move takes place against the backdrop of the Chicago Stock Exchange recently blocking the acquisition of an American company by another Chinese entity because of a lack of transparency as far as the deal was concerned.
“With this key transaction,” explained a press release issued by Seven Stars Cloud Group, “Seven Stars Cloud will leverage DBOT's established and regulatory approved ATS for powering SSC's blockchain based NextGen X, which focuses on the trading of financial products including ETFs backed by digital assets, that can be tokenized and settled (including digital currency options) via Initial Exchange Offerings ('IEO’)”.
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