1 week ago
Crypto steadfast Unicoin has agreed to bargain a 51% involvement successful Diamond Lake Minerals, a steadfast specializing successful integer assets, mounting the signifier for a strategical rebrand and a displacement into altcoin treasury.
The deal, which was announced connected Monday, volition spot Diamond Lake Minerals renamed to DiamondLake and refocussed connected gathering a cryptocurrency treasury business. That effort is inspired by Strategy’s bitcoin BTC-heavy firm treasury strategy but swaps BTC for emerging altcoins.
Shares of Diamond Lake Minerals’ were past trading astatine $3.96, suggesting the woody could beryllium worthy supra $70 million. The acquisition is expected to adjacent wrong 20 days, pending modular conditions.
Unicoin CEO Alex Konanykhin framed the determination arsenic a stake connected the aboriginal of cryptocurrencies. He cited legislative shifts similar the recent transition of the Guiding and Establishing National Innovation for U.S. Stablecoins (GENIUS) Act done the country’s Senate arsenic catalysts that could unlock altcoin potential.
"We judge the aforesaid results achieved with Bitcoin tin beryllium replicated astatine a fraction of the outgo successful the alt-coin segment,” Konanykhin said.
DiamondLake’s CEO Brian J. Esposito called the woody “historic,” emphasizing the company’s long-standing ambition to bring tokenization into the halfway of nationalist marketplace concern strategies.
The caller institution volition absorption connected tokenizing real-world assets and making them accessible to mundane investors.
The acquisition comes astir a period aft the U.S. Securities and Exchange Commission (SEC) sued Unicorn and 3 of its executives, including Konanykhin, for allegedly raising implicit $100 cardinal successful a “massive securities fraud.”
The bureau claims Unicoin misled investors by inflating existent property valuations and promoting outsized, unrealistic returns, specified arsenic a 9 cardinal percent gain, done assertive selling campaigns. The SEC is seeking disgorgement and civilian penalties.
Konanykhin has dismissed the charges arsenic “blatantly false,” and suggested the SEC is inactive going aft crypto firms, adjacent aft the regulator dropped cases against firms including Coinbase, Kraken, and Uniswap.
He rejected a projected colony gathering successful April, calling the SEC’s presumption “unacceptable.” In a missive to shareholders, helium argued that Unicoin had complied with U.S. regulations and accused the regulator of inflicting “multi-billion-dollar damages” done its probe.
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