The eSports and online gambling company Esports Entertainment Group Inc (NASDAQ:GMBL) announced a new cryptocurrency-related platform Thursday.
What Happened: ggCircuit, a company being acquired by Esports Entertainment Group, is planning to launch its ggFuze distributor computing platform next month.
A custom-built crypto mining application will be the first app launched with the product. The platform will allow center owners to utilize idle computing power to passively mine for Ethereum (CRYPTO: ETH) with the click of a button.
The company’s software algorithm will automatically evaluate the hardware of the gaming PC and mine when it’s not in use for gaming.
The new platform is a collaboration between ggCircuit, Helix and Genji Analytics showing the synergies of the Esports Entertainment brands together.
Why It’s Important: Esports Entertainment is acquiring ggCircuit and Helix for $43 million in a deal expected to close this quarter. Thursdy’s announcement could strengthen the opportunity for one of the newest Esports Entertainment portfolio companies.
“Crypto mining during idle machine time is a request that many of our customers have been asking for and we are excited to be able to offer it as the launch application of our distributed computing product ggFuze,” ggCircuit CEO Zack Johnon said.
Over 1,000 centers are on the ggCircuit network. The ability to earn extra income through the ggCircuit offering could help the company land additional partners in the gaming community.
GMBL Price Action: Shares of Esports Entertainment lost 4.53% Wednesday, closing at $12.64. The stock was up 0.79% at $12.74 premarket Thursday.
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