TORONTO, Feb. 4, 2021 /CNW/ – CryptoStar Corp. (TSXV: CSTR) (“CryptoStar” or the “Company“), a cryptocurrency mining and data centre operator, today announced that it has closed the private placement announced on December 23, 2020, consisting of the issuance of 10,000,000 units (“Units“) of the Company to raise $500,000 at a price of $0.05 per Unit by way of a non-brokered private placement (the “Offering“).
Each Unit consists of one common share of CryptoStar (a “Common Share“) and one common share purchase warrant of CryptoStar (a “Warrant“). Each Warrant entitles the holder to acquire one Common Share at a price of CAD $0.075 per Common Share for a period of 18 months from the date of issue.
The Company will pay cash fees and issue Common Shares and non-transferable warrants (the “Finder’s Warrants“) pursuant to the Offering. EMD Financial Inc. will receive $33,250, 285,000 Common Shares and 285,000 Finder’s Warrants. Each Finder’s Warrant will entitle the holder thereof to acquire one Common Share at a price of $0.075 per Common Share for a period of twelve months from the date of issue.
The Offering and the payment of the finder’s fee is subject to TSX Venture Exchange approval. The securities issued in connection with the Offering are subject to a four-month hold period, in accordance with applicable securities laws.
CryptoStar intends to use the net proceeds from the Offering for business operations and expansion of its business, and for general working capital purposes.
About CryptoStar Corp.:
CryptoStar has cryptocurrency mining operations with data centres located in the U.S.A. and Canada. CryptoStar is currently dedicated to becoming one of the lowest cost cryptocurrency producers in North America and a major supplier of GPU and ASIC miners and mining hardware & hosting packages worldwide.
Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this press release.