Graph Blockchain Inc., a Canada-based blockchain company that provides shareholders with exposure to various areas of DeFi, announced that it formed an agreement to acquire Niftable Inc, a charity focused NFT company, for $26 million. Graph will pay the purchase price by issuing 52,000 of its shares at a price of $0.05 per share. If the shareholders and the Board of Directors of Graph are satisfied with the agreement, then they will approve the deal, the payment and the issuance of the shares in exchange for the Niftable shares. Graph will, therefore, wholly own Niftable after the acquisition is closed.
Paul Haber, the CEO of Graph Blockchain, revealed how such an acquisition would be important for Graph. He said: “We are very excited to enter this new area of NFTs. Charities have been hard hit by COVID, and we believe the NFT space creates a great opportunity for charities to raise funds from not only their established donor base but to expand their reach into a whole new demographic, as NFT artists have not been shy about their backing for charitable causes or key social issues.”
Besides the acquisition, Graph entered into an employment agreement with the Founder and President of Niftable, Mr Michael Yeung. Regarding the deal, Yeung stated: “This is an amazing partnership, as Graph provides expertise and resources, and Niftable provides a growth strategy with its focus on charities and the growing NFT world. There are over 170,000 charitable and nonprofit organizations in Canada. 85,000 of these are registered charities. The marketplace for growing this business represents a massive opportunity for Graph and its shareholders. We look forward to a very productive year as part of the Graph team.”
Niftable’s core business focuses on connecting charities and their artists to the non-fungible token world. Niftable offers the expertise and execution of NFTs from the creation of the NFT to the sale and post-sale of non-fungible tokens on behalf of their charity clients. Most charities rely on volunteers and lack expertise in the emerging NFT world, and that is where Niftable comes in and fills the gap.
Increasing Number of Companies Are Developing NFT Strategies
The announcement by Graph Blockchain Inc. is part of the efforts by several companies in the finance industry deciding on embracing strategies involving NFTs. Last month, Nike, an iconic sneaker and sports apparel giant, began using NFTs as a way of certifying the veracity of a pair of sneakers. In July last year, Team GB, the brand name used by the British Olympic Association since 1996, developed an NFT shop where fans could buy NFTs for various limited-edition collectables, like wall paintings by artist Ben Mosley or unique experiences with some of the gold-medal winners of Team GB. The initiative helps fans to support their national team without being able to travel to stadiums to cheer their favorite players. This would commemorate their achievements and enable fundraising for the British Olympic Association. Also, in July last year, the Coca-Cola Company launched an NFT auction to make its collection of digital collectables available to the public. Furthermore, many more brands have launched their NFT strategies to engage with their customers.