It’s official, Long Blockchain Corp. (NASDAQ:LBCC) is fully entrenched in the world of blockchain. On January 5, 2018, it was announced that the company’s new stock trading ticker symbol has officially been approved by the NASDAQ Capital Market. Long Blockchain will now be trading under the trading symbol “LBCC”.
Long Blockchain also announced that it had entered into an agreement to purchase 1,000 Antminer S9 mining rigs along with 1,000 APW3++ PSUs in order to commence mining Bitcoin. The shipment of these Bitcoin mining machines is expected to occur later in January. This agreement is a big step for the company in regards to its goals of becoming a leading blockchain technology investor and provider.
When Long Blockchain first announced that it would be changing its name to reflect its potential move into the blockchain sector, the company’s shares soared close to 200%. Ironically, now that it is officially starting to make moves into the blockchain sector, the company stock is actually down.
Currently, at the time of writing, Long Blockchain stock is trading at $4.85. This puts it down $0.19, or 3.77%, from the previous closing price of $5.04 (and a significant amount down from what it was trading at on the day of the first announcement about going into blockchain). So what happened?
It could be that the hype has worn off. Long Blockchain first announced its potential (keyword, potential) move into blockchain on December 21, 2017. Then, the company had only really noted its interest in getting involved with blockchain and mentioned no firm commitments to the matter or exact plans for what it would do. This was at a time when a lot of companies were using blockchain as a boost to their stocks (such as LongFin (NASDAQ:LFIN), which saw a 229% increase after announcing that it had acquired the blockchain company Ziddu.com). Perhaps the reason that Long Blockchain’s stock is declining now despite making actual moves into the blockchain sector has to do with the fact that Long Blockchain took too long in getting there and investors moved onto other companies already making the right moves into blockchain.
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