BitGold Acquires GoldMoney for CAD $51.9M, Shares Jump 29%

BitGold has continued an eventful journey in its early life, announcing its acquisition of UK-based GoldMoney for CAD $51.9 million ($42 million).

GoldMoney is one of the largest precious metals storage firms in the UK, stating to hold $1.2 billion worth on behalf of clients. It aims to make it easier to buy gold and silver online, allowing users to make purchases in flexible amounts.

In early 2014, the firm launched a spinoff, Netagio, extended GoldMoney's storage capabilities to Bitcoin Bitcoin While some may still be wondering what is Bitcoin, who created Bitcoin, or how does Bitcoin work, one thing is certain: Bitcoin has changed the world.No one can remain indifferent to this revolutionary, decentralized, digital asset nor to its blockchain technology.In fact, we’ve gone a long way ever since a Florida resident Laszlo Hanyecz made BTC’s first official commercial transaction with a real company by trading 10,000 Bitcoins for 2 pizzas at his local Papa John’s.One could now argue that While some may still be wondering what is Bitcoin, who created Bitcoin, or how does Bitcoin work, one thing is certain: Bitcoin has changed the world.No one can remain indifferent to this revolutionary, decentralized, digital asset nor to its blockchain technology.In fact, we’ve gone a long way ever since a Florida resident Laszlo Hanyecz made BTC’s first official commercial transaction with a real company by trading 10,000 Bitcoins for 2 pizzas at his local Papa John’s.One could now argue that Read this Term and launched a gold/bitcoin brokerage service. Netagio has since exited the gold market.

According to a disclosure, GoldMoney's 2015 unaudited gross earnings to date were £2.9 million ($4.5 million). Earnings since 2012 have declined, in part due to a declining value of gold and silver.

For BitGold, the move was likely part of its strategy early on. GoldMoney is one of the more successful variations of to those looking to "digitize gold" since the early days of the internet; during the recent crypto era, numerous Blockchain Blockchain Blockchain comprises a digital network of blocks with a comprehensive ledger of transactions made in a cryptocurrency such as Bitcoin or other altcoins.One of the signature features of blockchain is that it is maintained across more than one computer. The ledger can be public or private (permissioned.) In this sense, blockchain is immune to the manipulation of data making it not only open but verifiable. Because a blockchain is stored across a network of computers, it is very difficult to tampe Blockchain comprises a digital network of blocks with a comprehensive ledger of transactions made in a cryptocurrency such as Bitcoin or other altcoins.One of the signature features of blockchain is that it is maintained across more than one computer. The ledger can be public or private (permissioned.) In this sense, blockchain is immune to the manipulation of data making it not only open but verifiable. Because a blockchain is stored across a network of computers, it is very difficult to tampe Read this Term-based offerings have sprouted. The offerings of both companies strongly overlap, and considering the magnitude of investment, it is likely that BitGold's early growth strategy envisioned mass client acquisition from a third party more than organic growth.

It been a busy month for BitGold, which came out of private beta three weeks ago and debuted on the TSX Venture Exchange roughly one week later. In leveraging the blockchain to make gold more transactable, BitGold's services include gold purchases, storage, and enabling gold to be spent or accepted for payment.

Shares of BitGold have continued their wild ride, opening 29% higher at $6.00. Trading was halted on Friday. In the days prior, shares doubled in value within a 24h period, only to later give up the bulk of their gains. At their peak of $8.00, BitGold's total valuation was nearly $300 million.