Shares in ASX-listed blockchain firm, Digital X, have been sold-down after the company posted a significant drop in revenue for the 2019 financial year.
In its Preliminary Financial Report, Digital X (ASX:DCC), reported an 89% revenue fall for FY2019.
Revenue for the period totalled US$926,667, compared with US$8,211,408 in the previous financial year.
Digital X said the results were impacted by “a slow-down in the market and a significant draw down in the value of digital asset prices.”
The company’s loss for the year came in at US$2,477,603, compared with a profit of US$2,443,221 for the financial year ending 30 June 2018.
Digital X provides a diverse range of services to the blockchain and cryptocurrency industries, including corporate advisory, consulting, funds management and media.
Future of ‘Coincast TV’ in limbo
In July 2018 Digital X partnered with cryptocurrency media company, Coincast Media, to launch Coincast TV – a blockchain and cryptocurrency news program broadcast on the Sky News Business channel.
12 episodes went to air, but a second series has not eventuated.
Digital X says it’s now reviewing the viability of its joint venture with Coincast Media.
Positive outlook
Despite what it describes as a “challenging market” the company remains committed to the blockchain sector.
Digital X expects to reveal a new blockchain commercialisation strategy in the coming months and also expects to report on its partnership with Bullion Asset Management, the developers of the xbullion gold-backed stable coin.
Digital X shares closed on Friday at .031 cents, down 16% for the week.