19 November 2018
COINSILIUM GROUP LIMITED
("Coinsilium" or the "Company")
Coinsilium Investment Update
RSK Labs acquired by RIF Labs and completes Private Token Sale
RIF Board and Advisory Appointments
Coinsilium Group Limited (NEX:COIN), the blockchain venture builder, advisor and investor that finances and manages the development of early-stage blockchain technology companies, is pleased to provide the following update on its investment in RSK Labs.
Further to the announcement today from RSK Labs, a company where Coinsilium holds 65,000 series Seed-1 preferred shares via its wholly-owned subsidiary Seedcoin Limited ('Seedcoin), RIF Labs has agreed to acquire the entire share capital of RSK Labs. RIF Labs is a Gibraltar registered company developing a new off-chain infrastructure layer called the RSK Infrastructure Open Standard Protocols ('RIF OS Protocols') using the RSK Smart Contract Network for settlement, identity management and economic coordination in a fully decentralised fashion.
This acquisition will see RIF Labs take the lead on the development and community support of both the RSK Smart Contract Network and the RIF OS Protocols.
Background to Original Investment
The Company announced on 14 January 2016 that Seedcoin had invested US$50,000 for a convertible instrument that provided the right to shares of RSK Labs' equity at a pre-money valuation of not more than US$5,000,000. The Company subsequently exercised its conversion rights for 50,000 series Seed-1 RSK shares. In February 2018 the Company purchased a further 15,000 series Seed-1 RSK shares for a consideration of US$33,750 making the total amount invested US$83,750 for a total holding of 65,000 Seed-1 RSK shares.
The Transaction
The transaction will be conducted by way of a 'share for token' swap and Coinsilium will receive approximately 1,951,846 RIF tokens in return for its 65,000 series Seed-1 RSK shares. The total amount of RIF tokens to be received by Coinsilium during the vesting period (described below) is equivalent to circa 139.41757 Bitcoins or US$773,070 at the current Bitcoin/USD rate as of 18 November 2018. Coinsilium will have an option to receive 15% of the total tokens in cash or bitcoin (at the discretion of RIF Labs), with the remaining 85% to be received in RIF Tokens over the vesting period.
Vesting Terms
The Consideration will be released as follows
12.5% of total consideration shall be released 6 months after completion of the transaction and a further 2.5% each month for 42 months thereafter.
RIF Labs Private Token Sale
RIF Labs, the purpose-driven organisation to be led by RSK Labs's founding team and other executives, that undertook a private token sale, considers itself to be well funded to properly carry forward the RSK Labs and RIF Labs shared vision of bringing the Internet of Value to life.
Additionally, the open source RSK Smart Contract Network created by RSK Labs will continue to run on its native currency SmartBitcoin ('RBTC') which is and will always be convertible at the fixed parity of 1 RBTC for 1 Bitcoin.
The joint RSK Labs and RIF Labs teams will continue to take the lead on contributing to the development of the open RSK Smart Contract Network that has been in the hands of the community for some time now. On top of that, they will take the lead on the development of the RIF OS Protocols.
The full announcement from RIF Labs can be read here: www.rifos.org/press
Appointment of Advisor and Board Director
The Company is pleased to announce that Coinsilium's Executive Chairman Malcolm Palle has joined the board of RIF Labs in Gibraltar. Malcolm will form part of RIF Labs' board of directors alongside Wayne Almeida and Alejandro Aberg Cobo (Chairman). Coinsilium Chief Executive Eddy Travia has also been appointed as an advisor to RIF Labs.
The Directors of Coinsilium Group Limited take responsibility for this announcement.
For further information, please contact:
Malcolm Palle, Executive Chairman +44 (0) 7785 381089
Coinsilium Group Limited
Eddy Travia, Chief Executive Officer +44 (0) 20 3889 4312
Coinsilium Group Limited
www.coinsilium.com
Guy Miller / Mark Anwyl +44 (0) 207 469 0930
Peterhouse Capital Limited
(NEX Exchange Corporate Adviser)
Nick Emerson +44 (0) 1483 413 500
SI Capital Limited
(Broker)
Notes to Editor
About Coinsilium
Coinsilium is a blockchain venture builder, advisor and investor that finances and manages the development of early-stage blockchain technology companies. It does this through its consortium of top-tier investors, industry thought leaders and executive managers. Coinsilium's focus is on driving innovation in fintech and blockchain technologies, enabling businesses to take advantage of growth opportunities. Coinsilium also provides advisory services to companies planning token generation events.
Coinsilium shares are traded on NEX Exchange Growth Market, the primary market for unlisted securities operated by NEX Exchange, a Recognised Investment Exchange under the Financial Services and Markets Act 2000.
For further information about Coinsilium please visit http://www.coinsilium.com
About RIF Labs:
RIF Labs operates as a purpose driven organization focused on promoting and developing the next generation of open blockchain-based infrastructure that will enable worldwide financial inclusion and bridge the gap between this nascent technology and mass adoption.
RIF Labs is implementing the RIF OS Protocols as a suite of open and decentalised frameworks that is intended to enable faster, easier and scalable development of distributed applications within a unified environment.
The organization has a growing team of mission driven, passionate collaborators all over the globe and will be led by the RSK Labs founding team that is widely recognized at the forefront of the Bitcoin and cryptocurrency space, actively leading key innovations since 2011.
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