{"id":41575,"date":"2017-12-19T20:11:59","date_gmt":"2017-12-19T20:11:59","guid":{"rendered":"http:\/\/www.bnreport.com\/bachchans-ride-bitcoin-wave-250000-investment-in-ziddu-swells-to-17-5mn\/"},"modified":"2017-12-19T20:12:00","modified_gmt":"2017-12-19T20:12:00","slug":"bachchans-ride-bitcoin-wave-250000-investment-in-ziddu-swells-to-17-5mn","status":"publish","type":"post","link":"https:\/\/www.bnreport.com\/en\/bachchans-ride-bitcoin-wave-250000-investment-in-ziddu-swells-to-17-5mn\/","title":{"rendered":"Bachchans ride Bitcoin wave; $250,000 investment in Ziddu swells to $17.5mn"},"content":{"rendered":"<p>MUMBAI: Big B is at the crest of a <a href=\"https:\/\/economictimes.indiatimes.com\/topic\/Bitcoin\" rel=\"noreferrer\" target=\"_blank\">Bitcoin<\/a> wave which few \u2014 least of all the Bollywood men \u2014 had probably ever imagined.   <\/p>\n<p>The <a href=\"https:\/\/economictimes.indiatimes.com\/topic\/cryptocurrency\" rel=\"noreferrer\" target=\"_blank\">cryptocurrency<\/a> mania that has gripped Wall Street and many financial markets across the world has driven up the value of a stock investment by the Bachchan family from $250,000 to $17.5 million in two and a half years.   <\/p>\n<p>In May 2015, <a href=\"https:\/\/economictimes.indiatimes.com\/topic\/Amitabh-Bachchan\" rel=\"noreferrer\" target=\"_blank\">Amitabh Bachchan<\/a> and his son Abhishek invested $250,000, as part of their personal investment, in Meridian Tech Pte, a Singapore firm founded by Venkata Srinivas Meenavalli.   <\/p>\n<p>Like many small technology companies, few outside the trade knew about Meridian. That dramatically changed last week when Meridian\u2019s prime asset Ziddu-.com was acquired by another Meenavalli-backed overseas company LongFin Corp just two days after the latter\u2019s listing on NASDAQ.   <\/p>\n<table>\n<tbody>\n<tr>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>When Bachchans had invested in Meridian (under RBI authorised liberalised remittance scheme, or LRS), Ziddu was a \u201ccloud storage and e-distribution startup\u201d.   <\/p>\n<p><strong>Ziddu Coins Behind Frenzy<\/strong><br \/>In December 2017, it is described as \u201ca Blockchain technology empowered solutions provider\u201d that offers microfinance using \u201ccrypto currencies across continents.\u201d   <\/p>\n<p>Thanks to magic words like \u2018blockchain\u2019 and \u2018cryptocurrencies\u2019, the LongFin stock rose more than 1,000% between last Wednesday and Monday, after surging over 2,500% on Friday when the deal to acquire Ziddu.com was announced.   <\/p>\n<p>\u201cIn lieu of their holding in Meridian Tech, Bachchans received 250,000 shares of LongFin following the asset purchase,\u201d Meenavalli told ETin a text message. At Monday\u2019s LongFin stock price of $70 a share, Bachchans\u2019 holding in LongFin is valued at $17.5 million (which at the current <a href=\"https:\/\/economictimes.indiatimes.com\/topic\/exchange-rate\" rel=\"noreferrer\" target=\"_blank\">exchange rate<\/a> is approximately, Rs 114 crore)   <\/p>\n<p>How does the company explain this valuation? \u201cIt\u2019s crazy\u2026 the global euphoria over Blockchain is sweeping the world\u2026no intrinsic value can be attached,\u201d admits Meenavalli.   <\/p>\n<p>What would the Bachchans do? Will they try to cash in \u2014 go when the going is good? A text message to Amitabh Bachchan went unanswered till the time of going to press.   <\/p>\n<p>According to the LongFin press release, Ziddu does micro-lending against warehouse receipts. Behind the stock frenzy is \u201cZiddu Warehouse Coin\u201d, which the company communique says \u201cis a smart contract that enables importers and exporters to use their Ziddu coins that are loosely pegged to <a href=\"https:\/\/economictimes.indiatimes.com\/topic\/Ethereum\" rel=\"noreferrer\" target=\"_blank\">Ethereum<\/a> and Bitcoin Crypto Currency.\u201d   <\/p>\n<p>LongFin claims that importers and exporters convert Ziddu coins into Ethereum and Bitcoin Cryptocurrencies and use the proceeds for their working capital needs. The US-based LongFin Corp is described in the release as \u201can independent finance and technology company that specialises in structured trade finance solutions and physical commodities finance solutions for finance houses and trading platforms for North America, South America and Africa regions.\u201d   <\/p>\n<p>Even if LongFin meets its stated objectives and grows, the hysteria around the newly listed stock may die once the bitcoin bubble bursts. There is no convincing explanation behind the recent surge in rates of Bitcoin and other cryptocurrencies which originated after the financial meltdown of 2008 and amid growing distrust of fiat currencies which were being devalued by central banks and governments as they relentlessly created new money to keep afloat loss-ridden banks. However, some feel that even if cryptocurrencies lose their charm, Blockchain \u2014 the technology that is delinked from any central authority and manages the database that records Bitcoin transactions \u2014 may survive.   <\/p>\n<p><strong><a href=\"https:\/\/blockads.fivefilters.org\/\" rel=\"noreferrer\" target=\"_blank\"><\/a><\/strong> <a href=\"https:\/\/blockads.fivefilters.org\/acceptable.html\" rel=\"noreferrer\" target=\"_blank\"><\/a><\/p>\n<p><a href=\"https:\/\/economictimes.indiatimes.com\/markets\/forex\/bachchans-ride-bitcoin-wave-250000-investment-in-ziddu-swells-to-17-5mn\/articleshow\/62141321.cms\" rel=\"noreferrer\" target=\"_blank\">Original Article<\/a><\/p>\n<p>[contf]<br \/>\n[contfnew]<br \/>\n        <img decoding=\"async\" src=\"http:\/\/www.bnreport.com\/wp-content\/uploads\/2017\/12\/60278104.cms_-156.jpg\"\/><\/p>\n<h5><a href=\"https:\/\/economictimes.indiatimes.com\/\" rel=\"noreferrer\" target=\"_blank\">ET Markets<\/a><\/h5>\n<p>[contfnewc]<br \/>\n[contfnewc]<\/p>\n<p>The post <a href=\"http:\/\/newswirenow.co.uk\/2017\/12\/19\/bachchans-ride-bitcoin-wave-250000-investment-in-ziddu-swells-to-17-5mn\/\" rel=\"noreferrer\" target=\"_blank\">Bachchans ride Bitcoin wave; $250,000 investment in Ziddu swells to $17.5mn<\/a> appeared first on <a href=\"http:\/\/newswirenow.co.uk\/\" rel=\"noreferrer\" target=\"_blank\">News Wire Now<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>MUMBAI: Big B is at the crest of a Bitcoin wave which few \u2014 ..<\/p>\n","protected":false},"author":1,"featured_media":41576,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[202],"tags":[],"class_list":["post-41575","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-finance"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.8 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Bachchans ride Bitcoin wave; $250,000 investment in Ziddu swells to $17.5mn - Business News Report<\/title>\n<meta name=\"description\" content=\"MUMBAI: Big B is at the crest of a Bitcoin wave which few \u2014 ..\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.bnreport.com\/en\/bachchans-ride-bitcoin-wave-250000-investment-in-ziddu-swells-to-17-5mn\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Bachchans ride Bitcoin wave; 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