Long Blockchain Corp. (NASDAQ:LTEA), formerly known as Long Island Iced Tea Corp., seems to have impressed investors again with its appointment of two blockchain-involved leaders to its Board of Directors. As a result, the company has experienced a 20% stock increase.
Currently, at the time of writing, Long Blockchain stock is trading at $6.17, putting it up $1.07, or 20.98%, from the previous closing price of $5.10. The company’s last big announcement, that it might be getting involved with blockchain (thus the name change), caused the stock to increase by over 200%. After a few days, when no further news came of what exactly the company was planning on doing with blockchain, the hype seemed to wear off a bit and the stock dropped from $6.91 to $4.88. Cue this announcement, coming coincidentally soon after the company’s stock drop, to hike that price right back up.
Personally, I’m still not really buying it. Sure, the company has two people sitting on its board now that have had previous experience with blockchain technology, and I’m not doubting their expertise is there. Both Shamyl Malik and Som Ghosh have years worth of experience in the technology sector, either financial or blockchain, and they will no doubt be useful in providing advice for the company with the commencement of their new board appointments. But what does this actually mean for the company? I’m still confused. Long Blockchain still hasn’t made, to my knowledge, any formal announcement of what exactly it intends to do with blockchain. The company is going by a new description that it focuses on developing and investing in globally scalable blockchain technology solutions. But it also hasn’t renounced its involvement with its former vocation of iced tea production, so I’m still a little uncertain where these two ideas are going to coincide.
I’m not convinced yet that Long Island Iced Tea – apologies, Long Blockchain – is fully committed to the technology it is now touting and this most recent announcement has only furthered my hesitations that it is only trying to ride the blockchain float for as long as possible without actually doing anything. I hope it proves me wrong. In the meantime, I’m just going to sit back and sip some Original Long Island iced tea – after all, it’s still being made, isn’t it?
Featured Image: depositphotos/maxkabakov
