Published on December 17, 2013
By: Gaalen Engen
GreenBank Capital (CNSX:GBC, StockForum), a Vancouver-based company engaged in business of investing in Canadian small cap publicly listed companies, announced today that the company had launched to two subsidiaries to take advantage of the growing bitcoin market.
Bitcoin, introduced in 2009 by pseudonymous developer Satoshi Nakamoto, is a digital decentralized P2P cryptocurrency that no one institution controls.
With only 21 million bitcoins to be produced and an estimated market cap of $7.2 billion once that production ceases, bitcoins have become hot property with some of those coins being traded for $1100 each.
Bitcoin Canada, the first of GreenBank’s subsidiaries is slated to invest solely in the bitcoin currency, while the second subsidiary, Bitcoin Angel Capital, will invest in early stage bitcoin and other cryptocurrency companies.
The company intends to put together $5.0 million through a private placement debenture offering in order to facilitate this new venture.
According to the news release, “Management plans to ultimately spin off a portion of both these companies to GreenBank shareholders and apply to list the new entities on the Canadian National Stock Exchange.”
GreenBank CEO, Danny Wettreich, commented on the company’s move, “I believe that Bitcoin is in the early stages of becoming a revolutionary payment medium, and GreenBank intends to be actively involved as a Bitcoin incubator and investor.”
GreenBank Capital was in the news recently when the company completed a non-brokered private placement in the end of November.
Shares spiked 108.33% on the news to $0.125 per share.