First introduced in March 2015, NEM (XEM), a leading blockchain-based platform, has experienced its share of challenges in recent months. In late January 2019, the NEM Foundation, one of the primary organizations supporting the ongoing development of NEM, revealed it was getting close to filing for bankruptcy.
Mainly due to the prolonged crypto bear market, NEM and other digital asset platforms have had to cut costs by laying off staff members and downsizing their operations. After publicly announcing a couple months back that it was seeking funding from its community members in order to cover operational costs, NEM Foundation’s VC division, NEM Ventures, has invested $500,000 in Vimba, a New Zealand-based commercial platform previously known as MyCryptoSaver.
According to its official website, Vimba is a platform that allows users to easily convert funds residing in their bank accounts into cryptocurrency - while also being able to commit to a monthly savings plan. As mentioned in the announcement regarding the initial investment in Vimba, the company aims to create a crypto-focused banking model. This, as it is planning to introduce services to the crypto space that are similar to those offered by the traditional financial sector.
Providing "A Safe And Trusted Gateway To The New Economy"
Commenting on the initiative, Sam Blackmore, the CEO and founder of Vimba, remarked:
NEM is a quality community-driven project, run by the people for the people, which aligns with the ethos at Vimba. The investment is going to enable Vimba to grow into new regions, develop the platform further, providing a safe and trusted gateway to the new economy.
Currently, Vimba reportedly has 6,000 registered users and the company recently expanded its operations to the UK. It presently allows traders to “buy, sell, and save” crypto as it supports major cryptocurrencies including bitcoin (BTC) and ether (ETH).
Although the half a million dollar investment may not be as large as some other recent investments into various emerging blockchain projects, the allocation of capital appears to be more well-planned than those by other businesses. The invested funds will be in the form of a convertible note that will allow the capital to be released in two separate tranches during the course of the next 4-6 months. Moreover, about 10% of the total invested amount will reportedly be held in Vimba’s treasury - in order to finance its day-to-day operations.
NEM's Token Listed On Gibraltar-Based Exchange
On March 6, the Gibraltar Blockchain Exchange (GBX), an “institutional-grade, regulated and insured” token sale platform and crypto exchange, revealed (through a press release shared with CryptoGlobe) that it would begin listing NEM’s XEM token on its Digital Asset Exchange (GBX-DAX).
According to the exchange operator, the GBX-DAX is an exchange developed with “the high expectations of professional” crypto traders in mind. XEM’s supported trading pairs on the exchange include USD, BTC, and ETH.
Nick Cowan, the managing director and founder of the GSX (Gibraltar Stock Exchange) Group Limited stated:
The NEM project is spearheading the drive for mass adoption of blockchain and digital assets by reducing the cost and barriers to entry for established enterprises — a goal that is reflected in our own objectives. The listing of XEM on the GBX-DAX is further demonstration of our commitment to introducing strong, viable trading opportunities to our community of users.