Cogint Inc (NASDAQ:COGT) has publicized the launch of its new division which will focus exclusively on propelling the company into the blockchain industry.
The new division which was announced yesterday will work towards providing blockchain technology solutions. The division which is called Red Violet Blockchain and Analytical Solutions will offer to Know Your Customer (KYC) and cloud-based identity verification solutions to the blockchain industry. The announcement highlights the company’s strong start this year as part of its plan to expand its territory. The announcement also seemed to have caused some excitement among traders because there was an uptick in the company’s stock.
“For the last two decades, our management team has delivered identity verification and other risk mitigation solutions to industries including banking and financial services, insurance, government and law enforcement,” stated Cogint CEO, Derek Dubner.
Dubner also pointed out that the company is currently in a strong position where it does not have to choose any specific blockchain technology over another. This is due to the recently announced strategic partnership with Dragonchain. The two will instead focus on delivering mission-critical business applications that can be run on any enterprise-focused blockchain with the goal of reducing risk.
Red Violet Blockchain and Analytical Solutions will be a subdivision of a firm called Red Violet, Inc., which happens to be a subsidiary of Cogint. The latter plans to divest Red Velvet as part of its upcoming merger plan with BlueFocus International Limited. The announcement of the new blockchain solutions division makes Cogint the latest company to venture into the Blockchain arena.
Cogint is an industry leader when it comes to providing information and performance marketing solutions. The fact that it is well vast in the data-related fields means it has a lot to offer when it comes to blockchain technology. The announcement also highlights the growing popularity of blockchain and its acceptance by firms from different industries. It is believed to be the technology that will usher in future systems such as a better version of the internet and a more refined financial system.
Cogint stock closed the latest trading session on Wednesday at $5.45 after a 6.86 percent rise from the previous close.