Stellar is currently in talks with the San Francisco-based start-up “Chain”. This reported sources who should be familiar with the matter. The subject of the talks should be a possible acquisition of Chain by Stellar.
Chain is a technology company that wants to promote a smarter and more connected economy. To do this, it operates a platform that focuses on blockchain development. It wants to offer banks and financial institutions the opportunity to create individual and private networks. Chain stands out from other companies with a similar focus. The peculiarity is that Chain itself is not a blockchain, but wants to offer the technology for markets in the financial sector. Chain is developing cryptographic ledgers that will provide the technical foundation for future financial products and services.
Chain was founded in 2014 and has already made a name for itself in the industry. Chain was initially funded with $ 43 million. It was raised by leading venture capitalists supporting the project. These included Khosla Ventures, RRE Ventures, Capital One, Blockchain Capital, Pantera Capital, Visa, Citi Ventures, NASDAQ, Thrive Capital, BoxGroup, Haystack and Orange.
Chain CEO Adam Ludwin has in the past rejected opinions that cryptocurrencies will replace traditional currencies. He said:
“Some people just want to believe that one day this fantastic coin will come from Silicon Valley, which will then use the world as Wall Street goes down.”
It was not disclosed how Stellar wants to use Chain's technology for a potential acquisition. It is also unclear whether Chain will then continue its existing products.
Fortune reported that Stellar is poised to spend $ 500 million on Stellar Lumen (XLM) for its purchase. At the time of writing, Stellar had a market capitalization of $ 3.7 billion. The possible purchase price therefore does not seem farfetched. The Stellar lumens to be paid should be paid to the lenders. These can hold the coins or sell them immediately after the transaction, it said.
Stellar was founded in 2014 by ripple co-founder Jed McCaleb. The company wants to integrate the Blockchain technology into the financial systems. Therefore, the company's goal seems to be the same as Chain's. The purchase of Chain could therefore be a good choice as Stellar has the resources and Chain has the technical expertise.
At the time of going to press, Stellar's XLM share price fell 6.5% in 24 hours to $ 0.20. From a market capitalization perspective, Stellar ranked 7th on the list of the largest cryptocurrencies.
Sources: Fortune, Chain, Pixabay
Author: Peter Joost – Source Post: https://www.kryptovergleich.org/stellar-xlm-kauf-startup-chain-fuer-500-millionen-usd/
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