China-based Blockchain Investment Firm Diversifies with Cannabis
A Chinese blockchain investment firm listed in Hong Kong recently announced that it was looking at the cannabis sector following bitcoin’s price struggles in 2018. As reported by South China Morning Post, the company says it wants to diversify its investment portfolio.
Going Higher with Cannabis
According to a report by South China Morning Post, a blockchain investment company listed in Hong Kong, Grandshores Technology, plans to spread its tentacles beyond Bitcoin investment. The company would venture into the emerging cannabis market as well.
Following Bitcoin’s 2018 bear market, Grandshores Technology is now looking towards the hemp sector and has partnered with a Heilongjiang hemp research institute, Hempire Biotechnology Corporation Limited as part of the initiative.
Commenting on the agreement of both companies, Yao Yongjie, who serves as the co-chairman of Grandshores Technology, said:
“Through our partnership with Heilongjiang hemp research institute, we have gained an advantage in accessing high-quality cannabis seeds, with high levels of CBD. We want to be a key supplier of industrial and medicinal cannabis and control that supply from the source.”
Grandshores Technology earlier made a filing with the Hong Kong Stock Exchange to enter a corporation agreement with the Heilongjiang-based hemp company.
The agreement which lasts for an initial two years would enable both companies to come together to explore and develop different varieties of medicinal hemp products. The co-chairman of Grandshores further stated that the company is aiming to begin receiving the rewards of its industrial and medicinal cannabis cultivation in the year 2020.
The Convergence of Cryptocurrency and Cannabis
With the hemp virtual currency industries still grappling with legalization from different governments, combining cannabis and blockchain into an investment thesis could help grow both industries.
In North America, countries like Canada and some parts of the United States have successfully endorsed the use of hemp for medicine and recreation.
Yongjie, speaking on the expectations of both companies, said:
“Both blockchain and industrial cannabis is the future, and both are embraced by the younger generation.”
The co-chairman added that the blockchain investment company continually seeks to tap into new markets that would lead to continuous business growth.
As BTCManager reported, a cannabis company, Helix TCS, purchased blockchain exchange company, Amercanex International Exchange. The merger would enable Helix users to purchase cannabis using Amercanex’s robust blockchain platform.
Also, eToro, which has an interest in the cannabis industry, launched a new CopyPortfolio known as the CannabisCare. The platform makes investing in the cannabis industry easy for amateur investors.
Back in August 2018, a New York-based cannabis publication company, High Times, stated it was accepting bitcoin and ether for its IPO.