DigitalX Secures $15M Funding, Welcomes Blockchain Pioneer as Advisor

Highlights  

• DigitalX (DCC) secures $15 million through private placement and rights issue.  
• Blockchain leader Tony G appointed as strategic advisor with equity options.  
• Increasing demand for DigitalX Bitcoin ETF (ASX:BTXX) enhances digital asset strategy.   

Digital asset innovator DigitalX (ASX:DCC) has successfully raised $15 million in capital through a private placement and a rights issue to bolster its growth strategy in digital assets. The private placement secured $10.3 million from existing and new sophisticated investors, issuing 219 million shares at $0.047 each.  

Prominent blockchain advocate and digital asset enabler Antanas Guoga, widely known as Tony G, committed $4.7 million in shares under the placement. These shares are subject to a 12-month voluntary escrow period. Additionally, DigitalX directors contributed $611,000, while the company aims to raise a further $5.09 million through a rights issue at the same price per share.  

Strategic Advisory Appointment  

DigitalX has also engaged Tony G as a strategic advisor to guide the company's expansion into digital asset staking and validation services. As part of the two-year advisory agreement, Tony G will receive 25 million DigitalX options, exercisable at $0.10 each after two years, pending shareholder approval.  

Currently serving as chair of Solana Strategies, a Canadian-listed blockchain company, Tony G brings extensive experience in digital asset investments and business development to the role.  

Strengthened Financial Position  

Upon completion of the capital raising initiatives, DigitalX will have $18 million in cash reserves, complemented by $58 million in digital assets on its balance sheet. Furthermore, the company anticipates an additional $7 million from the refund of 41 bitcoins by administrators of the former Mt Gox Exchange, expected during the 2025 financial year.  

Mt Gox, once the largest cryptocurrency exchange globally, filed for bankruptcy in 2014 following a significant security breach that resulted in the loss of 850,000 bitcoins.  

Growing Demand for Bitcoin ETF  

DigitalX has witnessed increasing demand for its Bitcoin ETF (ASX:BTXX), launched in July. The DigitalX Bitcoin Fund recently subscribed for 1.27 million units of the ETF through an off-market transaction valued at $42.9 million. This move reallocates bitcoin holdings within the fund into the ETF, providing a regulated investment option.  

The DigitalX Bitcoin ETF offers retail and wholesale investors streamlined exposure to bitcoin without requiring a digital wallet, making it accessible through established online platforms. This growing demand underscores the company’s ability to meet the evolving needs of digital asset investors.