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STVI: Blockchain Strategy Advances; Outlining Recent Measures

By M. Marin


Since announcing a new blockchain strategy last month, Snap Interactive (OTC:STVI) has made progress with this initiative, including appointing blockchain experts to its Blockchain Advisory Board and forging relationships with complementary blockchain players. Reflecting the company’s progress, Snap also received an investment from a new institutional investor.

Blockchain Advisory Board

Snap has appointed Lou Kerner and Lon Wong to its blockchain advisory board. They join inaugural blockchain advisory board member Michael Jones. Lou Kerner is a Wall Street veteran and, according to online publisher Medium, a crypto expert. Lon Wong is president of the Foundation, which created the NEM blockchain platform. The goal is to have the board advise Snap on the strategic development of its blockchain and crypto initiatives.

Snap has also forged a product development agreement with Gladius Network, a blockchain cybersecurity developer. Gladius is developing a decentralized solution to protect against DDoS (Distributed Denial of Service) attacks. The two companies will focus on accelerating the development of Gladius's security solutions and Snap’s upcoming new product in development, Backchannel, as well as identifying future joint opportunities. 

New Investor Will Advise on capital markets strategy

On the back of these blockchain initiatives, the company completed a private placement for $1.0 million to Hershey Strategic Capital, LP. The company believes the funds will enable it to accelerate its blockchain strategy. Hershey Strategic Capital’s Adam Hershey has also agreed to advise Snap on its capital markets strategy.

Snap Backchannel

Snap has a blockchain development team that seeks to identify blockchain and cryptocurrency applications relevant to the company’s existing product portfolio and social video platform. The company intends to develop blockchain-based new products such as Backchannel that leverage its live video platform.

The company expects Backchannel to support secure video-enabled one-to-one and group messaging leveraging crypto identity. In conjunction with Gladius technology, Backchannel will not require personally identifiable information. Instead, it will use blockchain crypto addresses to identity users, which will create a private and secure platform for video-enabled messaging and interaction. It is expected to launch as a freemium application that will enable crypto token micropayments for premium features and, most likely, for in-app purchases, we believe. It will also be decentralized, requiring no middleman servers. 

Snap also announced the development of an open source delivery platform to provide access to third-party developers and enable them to adapt their applications to leverage Snap’s live streaming video, voice and data capabilities. 


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