Cryptocurrency wannabe Byte Power suspended after tenfold share price increase
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An IT retailer looking to set up a cryptocurrency exchange in Brisbane has been suspended from trade pending further investigation from the regulator after its share price skyrocketed this week.
Byte Power Group (ASX:BPG) closed at 0.1c on Friday, tripled in price on Monday and rose as much as ten times to a high of 1c on Tuesday.
The ASX issued a speeding ticket — but Byte knew of no unannounced information that might explain the surge in interest.
Two days later — with 26 per cent of the company’s shares traded — the ASX compliance team took matters into its own hands, suspending trade “pending further inquiries”.
Chief executive Alvin Phua told Stockhead they were cooperating with the regulator but it was all down to growing acceptance of cryptocurrencies.
“Investors follow sectors and ours is one that has continuing discussion on a daily basis,” he said.
“We are developing functionalities in our exchange that will give us a point of difference in the cryptocurrency market and will continue to disclose information to the market as it comes to hand.”
IT hardware retailer Byte is developing a cryptocurrency exchange in Brisbane in partnership with Singapore-based Soar Labs.
“The exchange will provide a safer and smarter method to trade Cryptocurrencies for non-technical users,” Byte told investors.
Initial testing of the exchange is planned before the end of year.
Byte hopes to offer “a seamless trading process to convert traded cryptocurrencies such as Bitcoin, Ethereum and Soar Coins to Australian dollars through the Exchange”.
“The exchange allows users to conveniently formulate their preferred investment or trading strategies suitable not only to expert traders.”
Meanwhile BPG is continuing with an Asian business division, distributing Australian wines such as Penfolds, Cloudy Bay and Wolf Blass and honey into China.
“Byte Power Group is diverse, we do big data, IT, wine and the reason is the networks we have built in the region have allowed us to create synergies across industries,” Mr Phua said.
The company had $63,000 in the bank at the end of September.