Retains Cryptocurrency Miner to Monetize Operations - Enters into service agreement that permits third party miner to access Cloud Nine’s unused computer processing power of its userbase for cryptocurrency mining
- Company continues to grow userbase through no-charge Limitless VPN (virtual private network) available at www.limitlessvpn.com
- Management anticipates commencing mining once userbase reaches 50,000 registered active users
VANCOUVER, British Columbia, Jan. 24, 2022 (GLOBE NEWSWIRE) -- Cloud Nine Web3 Technologies Inc. (CSE: CNI) (OTC: CLGUF) (FRANKFURT: 1JI0) (“Cloud Nine” or the “Company”), a leading decentralized network and data storage technology company, announces it has entered into a third party services agreement with Argent Crypto, Inc., a British Columbia cryptocurrency based Money Services Business (the “Crypto MSB”), whereby the Crypto MSB has agreed to access and utilize Cloud Nine’s unused computer processing power of its userbase to mine digital assets, collect digital assets from such activity and convert such assets into fiat currency on behalf of the Company.
Sefton Fincham, President of Cloud Nine states, “We are excited to partner with a trusted organization like Argent Crypto to undertake our future mining operations. This agreement represents a key step in our monetization strategy as we continue to grow our userbase.”
The Company intends to utilize this relationship to perform a monetization strategy for the foreseeable future until the Company has the personnel and cash resources necessary to support such operations independently and until the Company believes it can safely mitigate the regulatory and business risks associated with cryptocurrency mining.
Pursuant to the terms of the services agreement, the Crypto MSB has agreed to utilize the Company’s proprietary technology to access the unused processing power of the devices of the Company’s userbase to mine digital assets. The Crypto MSB is required to collect all digital assets generated from cryptocurrency mining and convert such digital assets into fiat currency and distribute the proceeds back to the Company. During the term of the agreement, the Company has the right to require the Crypto MSB to initiate, halt and re-commence such services at the Company’s sole discretion. For their services, the Crypto MSB is entitled to a service fee equal to an agreed upon percentage from the converted fiat amount, with the balance being paid out to the Company. The agreement may be terminated at any time by any party with at least 90 days written notice.
The Limitless VPN (virtual private network) is a proprietary product owned by the Company and offered to users which relates to the usage of network infrastructure to perform distributed computational processing and to provide the user with a secure and encrypted connection to the internet. The initial version of the Limitless VPN (www.limitlessvpn.com) was released and available to the public on September 23, 2021.
As at January 21, 2022, there were 19,227 registered active users of the Company’s Limitless VPN. Management believes that it will need to increase its userbase to approximately 50,000 active registered users before it reaches a sufficient number to economically justify activating its operations and utilizing its userbase for either cryptocurrency mining through the Crypto MSB or independently for decentralized data storage on a cash fee basis.
The Company currently offers its products and content without charge or, in some cases, for a reduced or nominal cash fee. Instead, users who wish to use such products and access such content are required to agree to the Company’s privacy policy and terms of use which authorize the Company and its contractors to access and utilize their unused computer processing power. At this time, the Company intends to pursue its growth strategy of focusing on growing its userbase by marketing its existing products and offering additional content. Once the Company’s userbase increases to approximately 50,000 registered active users, the Company intends to initiate its monetization strategies as noted above.
https://www.globenewswire.com/news-release/2022/01/24/2372016/0/en/Cloud-Nine-Web3-Technologies-Retains-Cryptocurrency-Miner-to-Monetize-Operations.html