Long Island Iced Tea Corp. today announced that the parent company is shifting its primary corporate focus towards the exploration of, and investment in, opportunities that leverage the benefits of blockchain technology. The company has approved changing its name from Long Island Iced Tea to Long Blockchain and has reserved the web domain www.longblockchain.com.
They aren’t the only ones in the satiric-sounding sweepstakes for zaniest pivot. But here’s the real kicker: Shares more than tripled to $8.42 from $2.44 during early trading. Some are likening the new blockchain craze to the dot com boom of the ‘90s. It’s becoming a real enough thing—the likes of a bubble—there’s already a name for it: crypto companies.
Long Blockchain is now dedicated to becoming a significant participant in the evolution of blockchain technology that creates long-term value for its shareholders and the global community by investing in and developing businesses that are “on chain.”
At the same time, they will continue to operate Long Island Brand Beverages, LLC as a wholly-owned subsidiary, and maintain the focus of the business on the ready-to-drink segment of the beverage industry, specifically, premium, affordable, ‘better-for-you’ brands.
Long Blockchain believes that emerging blockchain technologies are creating a fundamental paradigm shift across the global marketplace, with far reaching applications across all industries from financial services (smart settlements) to consumer packaged goods (supply chain verification) to healthcare (electronic medical records).
While the company is in the preliminary stages of “evaluating specific opportunities involving blockchain technology,” no partnerships have happened.
Philip Thomas, CEO, commented, “We view advances in blockchain technology as a once-in-a-generation opportunity, and have made the decision to pivot our business strategy in order to pursue opportunities in this evolving industry. We are committed to enhancing shareholder value and believe that our new focus is the best path towards this goal. We will be taking a series of steps related to our efforts to assemble a world-class team of industry professionals to help us realize this vision.”
Long Blockchain will continue to leverage its ownership of the iconic Long Island Iced Tea® brand name and its existing beverage portfolio, and remains committed to improving the cash flow profile and efficiency of the beverage business through recently adopted operating initiatives.
“I am incredibly proud of what we have accomplished in the beverage industry and we are committed to growing our business both on a national and international scale,” Thomas continued. “I want to assure our beverage industry customers, suppliers, and partners of our continuing support of the Long Island Iced Tea portfolio of beverages.”
While such reports might on the outside be considered something reported from The Onion, blockchain technology is taking hold in numerous industries. Blockchain technology itself could have an impact of serious magnitude in the supply chain for any given company, especially a company which sources its raw materials abroad.
Traceability and transparency are some of the most important foundations of logistics. Blockchain enables equal visibility of activities and reveals where an asset is at any point in time, who owns it and what condition it’s in.
It can reduce or eliminate fraud or errors, improve inventory management, minimize courier costs, reduce delays of paperwork, identify issues in the supply chain faster, and increase consumer and producer trust.
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