Nov 08, 2021 (Vehement Media via COMTEX) -- London, UK, FinancialCentre broker, Andy Tutcher, says that If you are among those who have ridden the BKKT stock rally that saw its price surge over 50 percent in May, then you know all too well about Mastercard /zigman2/quotes/207581792/composite MA +0.71% ’s foray into the cryptocurrency space.
BK Technologies Corp (BKKT) is a small cap in the industrial sector that is a former provider of seismic research activities services to energy companies.
However, after a huge run-up in May, the stock has pulled back roughly 11 percent since then.
On June 6, 2018, BKKT reported its first-quarter earnings results. The company missed on both the top-line and bottom-line, but it delivered an earnings surprise of roughly 200 percent.
The revenue for the quarter came in at $9.5 million compared to $8.2 million in the same period a year ago. Also, the EPS was reported at $0.02 versus -$0.01 in the year-ago quarter.
During the conference call, BKKT CEO Robert Schwan said that he expects revenue to grow by nearly 30 percent for 2018. He also added that the company’s two major projects would drive this growth.
One project is with Louis Dreyfus Co, a massive conglomerate that deals with shipping and logistics. The company bought into the technology of BKKT and has used it to improve its supply chain and shipping activities.
The other project is with Rossing Uranium Ltd, an Australian uranium mining firm that plans to use the technology from BKKT to optimize their deep-sea mining activities.
On May 16, 2018 Mastercard announced that it was entering the cryptocurrency space. The first step of this expansion came in the form of a partnership with crypto-start-up Abra. However, there have been numerous articles about how BKKT is expanding its operations in the crypto market.
Here are 5things I found about BKKT and how it is expanding its operations as Mastercard enters the cryptocurrency space:
BKKT Is Operating Abra’s Crypto ATM Network
Abra has grown into a billion-dollar company by offering peer-to-peer money transfers that use cryptocurrencies as a transaction medium. The main idea behind the company is to offer everyone access to cryptocurrencies, even for those who are not technologically adept enough to buy them.
BKKT’sFinance Magnets first reported BKKT’s role in this expansion on May 29, 2018. According to Article, BKKT is partnering with Abra and plans on expanding its ATM network through this newly formed partnership.
BKKT has also been investing in Abra. In March 2018, BKKT made an undisclosed investment into Abra’s Series A round of funding. This means that the company is currently a shareholder of Abra, and it owns a percentage of its equity stake. Here is a quote from a March 30 2018, article published by Finance Magnets:
“BKKT Capital also secured an undisclosed equity stake in Abra through the deal with Silver8 Capital. Abra has recently garnered $16 million in fresh capital via a Series A round of funding.”
BKKT Is Providing Crypto-Related Technology to Rossing Uranium
In April 2018, BKKT announced partnering with Rossing Uranium to provide them with a blockchain solution.
This announcement caught the attention of many cryptocurrency enthusiasts as it is the first time a major mining company has decided on using blockchain technology for its activities.