In a regulatory announcement, Coinsilium Group Limited, the blockchain-based investment and development company, said that it has invested, and facilitated co-investment, for a total of USD$100,000 in RSK Labs Ltd that operates Rootstock. The investment of $100,000 is 28.6% of the initial seed round and represents approximately 2% of RSK.
“We are delighted to announce that Coinsilium has acquired an early strategic stake in RSK and we're excited at the prospect that the Rootstock platform can potentially deliver the strength and security of Bitcoin with the smart contract capability of Ethereum”, Cameron Parry, Coinsilium's Executive Chairman, said in a statement. “We are also pleased to be able to utilise our co-investor network to see Coinsilium and its co-investors contribute approximately 28% of Rootstock's initial seed funding round.”
Rootstock is a smart-contract platform built as a sidechain of the Bitcoin blockchain that adds value and functionality to the core Bitcoin network by enabling smart contracts.
The Rootstock team includes Sergio Demián Lerner, a prominent member of the Bitcoin technical community. He has vast experience in digital currencies and has contributed several improvements to the Bitcoin protocol. He created the first smart-contract enabled cryptocurrency in 2013.
“We are excited to have Coinsilium join us as an investor at this stage of the company”, said Sergio Demián Lerner, Rootstock's Chief Scientist and co-founder.
Coinsilium also announced that its wholly owned subsidiary, Seedcoin Limited, has invested USD$50,000 (equivalent paid in bitcoin) on its behalf and an additional USD$50,000 (equivalent, paid in bitcoin) on behalf of its co-investors for a convertible instrument that provides the right to shares of RSK's equity at a pre-money valuation of not more than US$5,000,000. Therefore, via Seedcoin, Coinsilium has taken nearly 14% of RSK's total USD$350,000 initial seed round and upon conversion to shares at a US$5,000,000 valuation, Coinsilium would hold approximately 1% of RSK.
