MOXC - Moxian to divest Chinese unit amid uncertainty over govt tightening control over gaming

• Moxian (BVI) ( NASDAQ: MOXC ) said Monday its unit Moxian Group will sell all equity interest of Moxian Hong Kong to Jiantao Liu for HKD 1K (or ~$127.6) in cash.
• The decision to divest the business was made amid uncertainty due to recent tightening of controls by the govt. over the gaming business and increasing concerns over privacy of personal data.
• Liu is an affiliate of Qinghu Hao, a former director and chairman of MOXC till his resignation from the board in Mar.
• Moxian Hong Kong was primarily engaged in mobile payment applications and digital advertising in the Games Channel of the new Xinhua app.
• The divestment of Moxian Hong Kong was not a significant deal as it had been operating at a loss since its inception and its carrying values in MOXC's consolidated financial statements in the last 3 fiscal years were not substantial.
• With this divestment, MOXC no longer conducts operations in China and is in the process of relocating its principal executive offices to the U.S.
• "... MOXC sees its future in bitcoin mining operations and related activities as cryptocurrency mining provides a steady flow of revenue. Despite recent fluctuation in the bitcoin prices, we believe the longer-term outlook for cryptos remains positive," said MOXC CEO Conglin (Forrest) Deng.

For further details see: