Key Points
- BTCS has announced the discontinuation of its StakeSeeker platform to focus on Ethereum infrastructure operations.
- The company has reported strong financial growth in 2024, with Ethereum-based operations driving revenue.
BTCS, a blockchain infrastructure company traded on Nasdaq, has decided to halt its StakeSeeker platform. The aim is to concentrate on operations related to Ethereum blockchain infrastructure, which is the company’s primary source of income.
The StakeSeeker platform provided crypto holders with tools for portfolio analysis and staking activities. Despite these improvements, BTCS views its Ethereum-focused blockchain infrastructure operations as a more sustainable way to create value for shareholders.
BTCS’s Strategic Focus
Charles Allen, BTCS’s CEO, explained that the company has ceased its StakeSeeker platform to focus on areas where it can excel. The goal is to make BTCS a leader in Ethereum blockchain infrastructure and maximize shareholder value.
Allen stated, “After careful consideration, we have decided to discontinue the StakeSeeker platform as part of our strategy to be laser-focused on areas where we have a demonstrable chance of success. Our primary goal is to position BTCS as the premier Ethereum blockchain infrastructure company, and this decision reflects our commitment to driving maximum value for our shareholders.”
Crypto holders using BTCS validator nodes will not be affected by this change, as they can still access BTCS’s infrastructure to earn staking rewards.
Financial Growth and Future Plans
BTCS has seen steady growth in 2024, with impressive financial results for the third quarter. The company’s quarterly revenue reached $0.7 million, a 32% increase from Q2 2024 and a 134% increase from Q3 2023. Year-to-date revenue was over $1.7 million, a 73% increase from the same period in 2023.
However, gross margins for the nine months ending in September 2024 were 50%, down from 72% in 2023 due to increased operational expenses. BTCS reported a net loss of $3.5 million for the first nine months of 2024, compared to a $0.5 million profit in 2023. Despite this, cash and cryptocurrency holdings grew from $26.0 million in September to $33.0 million by November 12, 2024.
The company attributes its success to its Builder+ operations, which have become crucial to its revenue strategy. The initiative has consistently delivered double-digit quarterly revenue growth by optimizing block-building in the Ethereum ecosystem. BTCS uses advanced algorithms and optimizes block construction to maximize gas fee revenue through Builder+.
BTCS has also confirmed the complete divestment of Bitcoin holdings in favor of higher-yielding cryptocurrencies. Ethereum is the company’s largest position, with significant holdings also in Solana, Cardano, Polkadot, Polygon, and Avalanche.
