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As I pointed out, all of your quotes talk about a transaction. The crypto growth is not recognized until it is sold. The actual numbers in the financials bear this out. If your company bills $10,000 in services, when that invoice is paid, it's recorded as a receipt of $10,000 even if it was paid in HEX. It doesn't matter if on the same day you're paid the value of the HEX reached $11,000. You only received $10,000 for your services. Your HEX is recorded as an asset at a cost of 10,000. At the end of the quarter, it may be worth $12,000 or $8,000. If you sell it on the last day of the quarter you either record a profit/revenue of $2,000 or a loss of $2,000. If you haven't sold, you record the value of your crypto asset as $12,000 (or $8,000) with a cost of $10,000. There's nothing mysterious about that other than how you've come to a different conclusion than what you actually see in the financial numbers.
Any patent enforcement is likely to meet legal resistance from those who have to pay. If it goes to trial it could take a year or more. Only 3 to 5% of patent lawsuits actually go to trial. On the other hand it only takes one court decision to open the floodgates.
1.)
To make the claim that all the application software that could ever be written for HEX already exists is insane. If you believe that, I have a bridge I'd like to sell you in Brooklyn. If you want to use or convert Hex on your ATM machine it requires software. If you want to create an ATM card that uses Hex, it requires software. If you want to write an interface to "staker" from your application and create a cleaner/easier user experience, it requires software. If you want to rewrite "Staker" to make it easier to use or incorporate it into your application, it requires software.
As for revenue, I've already shown how it's broken down in the financials. The consulting and services revenue is recorded at the time they satisfy a performance obligation in dollars. If they are paid in an equivalent value of crypto, the amount recorded doesn't change with the value of the crypto. The crypto is retained as an asset. The income or loss on that asset is recorded at the time of sale under "crypto asset sales revenue". It's all transparent in the financials. It proves that the main source of their revenue has been "Consulting and services revenue" of $1,040,000, not the "Crypto asset sales revenue" which was only $61,000...
What you're suggesting would violate basic accounting principles. You can't claim revenue in crypto for a specific invoiced value on a project, and then turn around and increase the revenue from that source as the crypto appreciates. The appreciation would be recorded as a separate entry in a different account. Show us where that's happening on their financials. Your assumptions here don't fit the facts of the financials.
Why would it be doubtful that someone could have a hex coin project? As I said, the governing programming for the creation and mining and behavior of HEX may be complete (just like the rules for creating dollar bills are fixed), however, have you ever tried to buy or sell HEX? Wouldn't it be nice to have a program that calculated the interest you received since you purchased it? Or one that calculated the interest you could get based on certain assumptions. Or a wallet that made it easier to do those things or to "stake" your investment. Or create a HEX debit card? To make that claim just displays a lack of imagination. How many applications can you think of for dollars? SMHL
Good to hear from you again Heed.
There's a new PR out today...
Everything Blockchain Acquires Energy Technology Business
I haven't made any predictions. The company has. I'm just interpreting what the company has released in their PR's and analyzing what would be rational expectations based on their information. If I could make predictions, I would be relaxing on a yacht in the Caribbean.
If you disagree with my analysis, tell us why.
I admit it's a bit confusing. Their PR on March 24 add to the confusion...
OBITX Expands Cryptocurrency Assets by Acquiring Bitcoin
Look again at the OBTX 1FQ22 10-Q. Here's the breakdown from page 10...
OBTX 10-Q
$1.040 million of $1.153 million total revenue came from consulting and services. Only $72,000 came from sales of Crypto currencies and only $11,000 of that was interest.
The company announced a contract back in March...
OBITX Signs First Contract to Develop Blockchain for Green Technology and Engineering
Clarification, of the $1.081 million Total Net Revenue, $1.041 million in Services Revenue was from what they characterize as "Consulting and Services Revenue" or "Transaction Revenue" as opposed to "Subscription and Services Revenue". In other words it came primarily from programming and software consulting.
I just noticed a significant typo on this post. I meant to say...
a price target in the range of roughly $19 to $300 is rational for OBTX.
...not...
a price target in the range of roughly $19 to $300 is rational for BTZI.
I just noticed a significant typo on this post. I meant to say...
a price target in the range of roughly $19 to $300 is rational for OBTX.
not...
a price target in the range of roughly $19 to $300 is rational for BTZI.
LOL, Yeah, my hair has grown quite a bit grayer since 2014.
Since BTZI owns 49% of OBTX, it would use the Equity Method for accounting for the investment. That means if OBTX realizes $6,020,000 profit as projected, BTZI would claim 49% of that, or $2,949,800 as income and add that amount to its OBTX asset value.
Who is "baptized"? BTZI owns 49% of OBTX.
Based on today's news, we can do some rational price calculations.
The company, over the past four months, has operated at a roughly 43% profit margin. ($2.1M profit/$4.8M revenue)
Today's PR projects annual revenue for the current year at $14 million
$14,000,000 x 43% = $6,020,000 profit/earnings
$6,020,000 Earnings / 6,144,125 Outstanding Shares (OS) = $.98 Earnings Per Share (EPS)
Using the NYU Stern School analysis of Price/Earnings (P/E) Ratios by Industry, I theorize that OBTX could be categorized under either Financial Services, which has a forward Price/Earnings (P/E) ratio of 19.35x or Software (System & Application) with a forward PE of 305.13x.
$.98 EPS x 19.35 = $18.96/share pps to
$.98 EPS x 305.13 = $299.02/share pps
Consequently, based on these assumptions, a price target in the range of roughly $19 to $300 is rational for BTZI. This doesn't mean that the company will hit either of these targets, only that they are possible if all the assumptions are met. In any event, this suggests that OBTX is severely undervalued given today's PR. Keep these estimates in mind and see if they're borne out by further facts about the company (e.g. future financials) as they come in.
Based on today's news, we can do some rational price calculations.
The company, over the past four months, has operated at a roughly 43% profit margin. ($2.1M profit/$4.8M revenue)
Today's PR projects annual revenue for the current year at $14 million
$14,000,000 x 43% = $6,020,000 profit/earnings
$6,020,000 Earnings / 6,144,125 Outstanding Shares (OS) = $.98 Earnings Per Share (EPS)
Using the NYU Stern School analysis of Price/Earnings (P/E) Ratios by Industry, I theorize that OBTX could be categorized under either Financial Services, which has a forward Price/Earnings (P/E) ratio of 19.35x or Software (System & Application) with a forward PE of 305.13x.
$.98 EPS x 19.35 = $18.96/share pps to
$.98 EPS x 305.13 = $299.02/share pps
Consequently, based on these assumptions, a price target in the range of roughly $19 to $300 is rational for BTZI. This doesn't mean that the company will hit either of these targets, only that they are possible if all the assumptions are met. In any event, this suggests that OBTX is severely undervalued given today's PR. Keep these estimates in mind and see if they're borne out by further facts about the company (e.g. future financials) as they come in.
Obitx has a new PR out today. Bots owns 49% of Obitx...
EVERYTHING BLOCKCHAIN ANNOUNCES REVENUE AND EARNINGS FOR MAY, 2021
A new PR is out today...
EVERYTHING BLOCKCHAIN ANNOUNCES REVENUE AND EARNINGS FOR MAY, 2021
Are you talking about Cryptocurrency issuers in general or First Bitcoin in particular. Since the SEC does not make public who they are investigating I assume you are speculating in general, otherwise, please present your evidence.
In general, it's wise to understand what you are investing in and how it can be manipulated. Just because someone starts selling something called a cryptocurrency, it doesn't make it a smart investment. What that article describes is a way investors can be swindled. However, it doesn't apply to all crypto coins (e.g. Bitcoin & Ethereum), only those based on dubious assumptions.
Actually, yesterday was a good sign. Even after several major brokerages stopped allowing shareholders to buy grey sheet stocks, COUV was able to bounce back from a low of $.06 to close at $.10. Apparently it's still possible for some people to buy.
Here's another company working on similar technology...
GLOBAL WARMING SOLUTIONS INC ACHIEVES BREAKTHROUGH IN RESEARCH OF NEW BATTERIES FOR ELECTRIC VEHICLES
The main thing they have in common is the ability to replace lithium as the key component. I think the first company to be able to come up with a commercially viable product will have an advantage. In my opinion, COUV has the inside track since they've been at it the longest.
As I said, it's not a prediction. It simply means that if you accept that they could bring in $30 million+ in revenue in the next 12 months (which is not unreasonable if they can enforce their ATM patent), then $.75/share is a rational target (unlike someone who might predict $10/share off the top of their head). I actually think the revenue target might be a bit conservative since it doesn't include crypto mining or rig repair estimates.
Back on January 3 I used basically the same method (although I used forward PE instead of current PE in the calculation - this is the average projected PE for each sector over the next 12 months - see post # 107665). Again, the estimate didn't include rig repair or mining revenue but, back then, I projected a price range of $.22 to $1.00 with some more refined revenue and profit projections based on the patent.
It all depends on whether the revenue and profit can be realized.
What May25th deadline??? Explain please. The Form 10 was filed April 26 not May 26