Chinese Blockchain-Related Company Xunlei (XNET) Reports Increased Revenues and Focus on Blockchain

344
Chinese Blockchain-Related Company Xunlei (XNET) Reports Increased Revenues and Focus on Blockchain

Xunlei (NASDAQ:XNET), China-based blockchain-related company released its Q3 financial results on 14th November, according to which the company’s revenue surged in 2018 following penetration of blockchain-related services in its portfolio.

The Q3 revenue of the company rose by 1.1% year-on-year to reach $45.3 million. Of the total revenue, cloud and internet value-added services sectors contributed $19.8 million. The sectors allegedly reported an 8.3% year-on-year increase in revenue.

Lei Chen, the CEO of Xunlei mentioned that blockchain has been one of the crucial areas of investment for the firm. The company believes that the blockchain technology has the potential to significantly change lives. The company is aiming at bringing the technology to different aspects of the life of the people to enable them to carry out certain tasks in the most cost-effective manner.

This year, Xunlei unveiled its latest blockchain platform dubbed ThunderChain. In addition, it has also entered into a number of blockchain-focused collaborations which include the signing of an agreement with People’s Daily, China’s leading media group and official newspaper of the Chinese Communist Party.

The company is known for its P2P software and a BitTorrent client. In China, the company is popularly known for its re-focused approach towards the digital ledger technology development which was initiated in October 2017.

The company’s first blockchain-powered initiative dubbed Link Token was revealed in October 2017 which followed a continuous turn-down for more than two years. The blockchain initiative was then introduced as a payment method for some of the company’s services. Within a short span of time, Xunlei came out as of the best performing stock on the trade exchange Nasdaq. The share of the company rose to 75%, according to Bloomberg reports.

Later in November in 2017, Xunlei was condemned by China’s financial regulator. The regulator imposed a ban on the company by restricting its movement in the Initial Coin Offerings. As a result, the company’s shares plunged by 40%. In spite of the loss, the company came up with brand new blockchain products in the spring. The blockchain products – StellarCloud and Thunder Chain Open Platform helped the company regain its lost position in the market. A few months later, the company’s then CEO Lei Chen confirmed a 70% year-on-year growth in revenue to a $65.8 million in Q2.

This year, Xunlei collaborated with People’s Daily to develop a lab focused on the development of technology innovation. The lab was agreed to be developed at the People Capital Blockchain Research Institute. The two also agreed to create a blockchain-powered platform to organize competitors, workshops, promote and recognize startups and manage seminars in the blockchain industry.

A number of crypto-focused firms recently also unveiled their financial results. Japan-based IT company GMO Internet (GMOYF) informed of the great performance of the company in the crypto space. Canada-based Bitcoin (BTC) mining firm Hut 8 reported a 126% quarter-on-quarter increased in revenue to $13.5 million from $5.9 million of the previous quarter.

Disclaimer

Blockchain Stocks has not been paid to mention any stock /company within this article nor do we own any stock in any company mentioned in this article. More information about our full disclosure can be found here – Full Disclaimer.