Binary options brokerage and blockchain technology company TechFinancials Inc (LON:TECH) has released its financial figures for 2017, which not surprisingly saw a 37% decrease in Revenues, $13.4 million versus $21.3 million in 2016.
EBITDA fell from $5.6 million in 2016 to $2.9 million in 2017.
And, the company indicated that it is expected that revenues will continue to decline throughout 2018, although appropriate mitigation actions have been and continue to be put in place to contain expected losses.
2017 was a very tumultuous one for TechFinancials which led to the shuttering in early 2018 of its OptionFair binary options brokerage brand, and the surrendering of the CySEC CIF license of subsidiary B.O. TradeFinancials Limited (BOT).
While TechFinancials continued to do well in the binary options business via its China joint venture DragonFinancials – which contributed $3.7 million of dividends paid to TechFinancials during the year – it otherwise has shifted its binary options business out of Israel and shifted its strategic focus to developing Blockchain technology platforms. The company said that its new segment blockchain trading technology revenues were $0.24 million for 2017. The company’s first main project in that regard is the CEDEX.com diamond trading platform, in which TechFinancials has an effective 90% holding.
Asaf Lahav, Group CEO of TechFinancials commented:
2017 has been a year of significant change, as we shifted our focus from binary options to blockchain trading technologies and solutions, and the growth of our Forex and CFD business.
The Company’s long-term strategic investment in CEDEX has been a pivotal step for the business and whilst continuing to support CEDEX, we will look to build on our experience and expertise to develop innovative solutions for the rapidly growing blockchain-based products and technologies market, as we seek to expand into new product areas.
Despite a number of challenges faced over the year, we have remained committed to developing new technologies and seeking new investment opportunities to facilitate expansion. We are confident that the changes implemented across the business, and the new strategy will best position the Company for future growth.
TechFinancials’ full press release on its 2017 financials can be seen here.