SOURCE: BTCS Inc.

BTCS Inc.

June 23, 2016 08:35 ET

BTCS Addresses Recent Stock Activity

ARLINGTON, VA--(Marketwired - Jun 23, 2016) - BTCS Inc. (OTCQB: BTCS) ("BTCS" or the "Company") is providing remarks on the recent trading activity of its common shares on the U.S. over-the-counter market. 

The Company has previously relied on convertible note financing to fund ongoing operations. As a result of not completing an additional larger round of financing in 2016, the Company was unable to meet the repayment terms of the notes issued in December 2015. This has led to the conversion of almost $600,000 of notes and interest to shares of the Company's common stock. 

As a result of the recent trading activity the Company was able to convince all of the note holders to agree to a standstill and leak-out agreement whereby, until September 19, 2016, each note holder's daily conversions will be limited to the greater of: (1) $7,500, and (2) five percent of the aggregate dollar value of Common Stock traded during the trading day immediately prior to the conversion date. Full details of the leak-out agreement are available in the Company's 8-K filed with the Securities and Exchange Commission on June 22, 2016.

While news of the conversion has had a deleterious effect on the Company's share price, management remains committed to executing on its strategic plans.

"Blockchain technologies are still in their infancy, much like the early days of the Internet, and we firmly believe the potential moving forward remains great," stated Charles Allen, CEO of BTCS. "We're further encouraged by the recent price increase of bitcoin, which demonstrates the continued maturation of digital currencies."

About BTCS:
BTCS secures the blockchain through its transaction verification services business and plans to build a broader ecosystem to capitalize on opportunities in this fast growing industry. The blockchain is a decentralized public ledger and has the ability to fundamentally impact all industries on a global basis that rely on or utilize record keeping and require trust. BTCS continues to evaluate additional blockchain technology consumer solutions. BTCS also actively partners and integrates with strategic digital currency and blockchain technology companies who provide products or services that are complementary to its business strategy. For more information visit: www.btcs.com

Forward-Looking Statements:
Certain statements in this press release, including those related to an anticipated merger, constitute "forward-looking statements" within the meaning of the federal securities laws. Words such as "may," "might," "will," "should," "believe," "expect," "anticipate," "estimate," "continue," "predict," "forecast," "project," "plan," "intend" or similar expressions, or statements regarding intent, belief, or current expectations, are forward-looking statements. While the Company believes these forward-looking statements are reasonable, undue reliance should not be placed on any such forward-looking statements, which are based on information available to us on the date of this release. These forward-looking statements are based upon current estimates and assumptions and are subject to various risks and uncertainties, including without limitation those set forth in the Company's filings with the Securities and Exchange Commission, not limited to Risk Factors relating to its digital currency business contained therein. Thus, actual results could be materially different. The Company expressly disclaims any obligation to update or alter statements whether as a result of new information, future events or otherwise, except as required by law.

Contact Information

  • BTCS Investor Relations:
    Michal Handerhan
    BTCS Inc.
    (202) 430-6576
    IR@btcs.com

    Michael Sullivan
    RedChip Companies, Inc.
    (407) 644-4256, ext. 115
    michael@redchip.com