According to a memorandum of understanding (MOU) published on Monday by BTCC Pool and its potential buyer, Value Convergence (VC) Holdings Limited – a Hong Kong-based financial service firm – the deal would raise 147 million Hong Kong dollars (US$17 million) if finalized.
It should be noted that the MOU is non-legally binding and the deal is subject to further revision and negotiation.
Publicly traded in Hong Kong, VC Group is a securities brokerage and asset management firm. The firm said in the MOU that the deal is being made through its wholly-owned subsidiary Initial Honor Limited, and comes as part of a wider effort to grow its business by a move into the financial technology industry.
BTCC – previously called BTC China – was forced to shift its business overseas after the People’s Bank of China outlawed initial coin offerings alongside a de facto ban on crypto exchange services. Currently its three main areas of business include the mining pool, a cryptocurrency wallet called Mobi and a USD/BTC exchange.
Data from blockchain.info shows that, currently, BTCC Pool accounts for 1.1 percent of bitcoin’s hashing power, a decline from the figure of 3.3 percent recorded earlier this year.