Chinanet Online Holdings Inc (NASDAQ: CNET) is having an overwhelmingly strong start to the trading session this morning, and for good reason. The company announced blockchain news, and like we’ve seen from DPW, LFIN, OTIV, COGT, and others, this type of news leads to big movement. Today, we’ll talk about the news, what we’re seeing from the stock, and what we’ll be watching for with regard to CNET ahead.
CNET Announces Blockchain News
As mentioned above, Chinanet Online Holdings is having an incredibly strong start to the trading session this morning after announcing blockchain news. In a press release issued early this morning, the company announced that it has entered into a strategic partnership with Wuxi Jingtum Network Technology. The goal of the strategic partnership is an expansion of the blockchain industry and its related technology. In the press release, CNET said that both entities will work together to jointly develop blockchain applications.
With the contribution of technology in the blockchain, the companies will work to develop a new generation of value-based internet technologies in China. CNET and Jingtum will work within Jingtum’s decentralized system to address data trust issues through cryptography and distributed coherency mechanisms while maintaining rich transactional and contractual features. The blockchain technologies the company’s will be working toward creating will be aimed at business customers, providing high-tech solutions to some of the biggest problems in the industry. In a statement, Mr. Hangdong Cheng, CEO at CNET, had the following to offer:
“With the introduction of blockchain technology, the platform-centric services in the past will gradually shift toward decentralization, solving trust issues in business cooperation and services and enhancing user vitality and stickiness… Chinanet Online will also gradually shift from information services to transaction services for business opportunities to create a multi-industry cross-chain value-based internet sharing entity. This partnership will help Chinanet to further integrate blockchain technology into our CloudX artificial intelligence and simultaneously create the public chain of marketing and advertising for small and medium enterprises, eventually branching out from these areas to gradually cover other applications such as business transactions payments, education and training to create a healthy and sustainable business ecosystem and entrepreneurial environment.”
What We’re Seeing From The Stock
One of the first things that we learn when we start to dabble in the market is that the news causes movement. Of course, recently news with regard to an entrance into the blockchain has led to dramatic rises, and that’s exactly what we’re seeing from CNET today. Of course, our partners at Trade Ideas were the first to alert us to the gains. At the moment (9:41), CNET is trading at $3.06 per share after a gain of $1.90 per share (161.97%) thus far today.
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What We’ll Be Watching For Ahead
Moving forward, the CNA Finance team will continue to keep a close eye on CNET. In particular, we’re interested in following the company’s entrance into the blockchain and excited to learn about the applications that it develops. Nonetheless, we’ll continue to follow the story closely and bring the news to you as it breaks!
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