The Gibraltar Crypto Stamp and the Gibraltar Genesis Collection of NFTs “have spotlighted our technology focus and capability within the area” said boss Eddy Travia
()() said although the Open Finance and non-fungible token (NFT) markets are in their infancy, developments in the past year and a half have increased confidence in the company’s ability to generate credible revenue streams.
The group’s financial results for 2020 showed a net fair value gain of £565,713 compared to a gain of £572,805 in 2019 with a gain from continuing operations of £309,590 compared to a loss of almost £259,000 a year earlier.
There was cash at bank of just over £173,000 at the end of last December and with an additional £1.2mln raised in May, the company said all its current operational commitments are fully funded “up to January 2022 and beyond”.
Following a strategic review that concluded in December, the board resolved to focus on NFTs and Open Finance.
In his outlook statement alongside the results, chief executive Eddy Travia said the board sees a significant opportunity in these two areas, highlighting projects that its wholly owned Nifty Labs arm is developing with partners.
The Gibraltar Crypto Stamp and the Gibraltar Collection of NFTs, while principally being working pilots, “have spotlighted our technology focus and capability within the area”, Travia said, and “have served to generate a broader interest that we aim to capitalise on”.
He said sales of NFT collections will have a twofold impact on the company’s ability to generate revenues, he said, “firstly, we will generate revenues from the initial sale or ‘drop’ of the NFT; and then again from all secondary market trading activities (particularly pertinent in respect of the rarer and more valuable digital assets) with the capability for programming into the smart contract a commission or royalty on any subsequent trades”.
Beyond this, he said the board believes Nifty Labs subsidiary has “the potential to generate significant value for the company”.
It is currently working on the build-out of a digital marketplace, with Travia saying the capability of developing a bespoke marketplace solution “not only showcases our tech development capability, it also allows us to create something that will be of benefit to the wider blockchain ecosystem”.
He added that the current solid financial base means Coinsilium can continue to be strategically flexible and “take an opportunistic approach to new developments and opportunities” within NFT and Open Finance markets and potentially other digital finance markets.