Bitcoin Shop Inc (OTCMKTS:BTCS) stated that it signed a letter of intent to merge with Spondoolies-Tech Ltd. The firm is a digital currency server maker. The deal is signed in order to commence a mission to create a comprehensive transaction verification services network using Spondoolies advanced bitcoin mining technology.

The details

The operators verify transactions in the bitcoin network. They look after the specially designed servers which offer accuracy, security, efficiency and speed. As of now, there are only five firms across globe that manufactures these servers. Spondoolies is one of the leader firms in the same industry. Bitcoin believes that the merger will result in the world’s first publicly traded firm to produce Bitcoin transaction verification solutions and deploy virtual currency mining resources. The anticipated combination is subject to a number of terms.

The expert speaks

Charles Allen who is the CEO of Bitcoin Shop said that the company’s key objective in 2014 was to enter into the associations required to develop an ecosystem and commence laying the base to execute the vision into place. The merger with Spondoolies will help the company to transform the vision into reality. The merger would enhance value for Bitcoin Shop, Spondoolies and their shareholders, employees and customers and serve to boost the strategic plans in the coming period.

The objective

As a single entity, the objective of Bitcoin Shop and Spondoolies will be to conclude the development and manufacturing of a next-gen chip to boost the transaction verification services operations and to generate revenue in the coming period. The synergy between the two companies is amazing and together they will create a successful company.

In last trading session, the stock price of Bitcoin Shop declined more than 12% to close the trading session at $0.230. The sharp decline came at massive share volume of 4.43 million compared to average share volume of 562,443.