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Metaverse gaming firm The Sandbox has hired BrandShield, an online threat detection company, to ensure the safety of crypto wallets and non-fungible tokens (NFTs) on its marketplace.
The Sandbox allows users to monetize their activity on blockchain-based virtual lands. However, NFT projects and communities have faced several exploits and frauds in the past few months, which has increased the need for more vigilance.
“In the open metaverse, users should be able to enjoy their true digital ownership rights and have new ways to create, store and trade value while having fun rather than having to worry about online threats,” Sebastien Borget, chief operations officer of The Sandbox, said in an email.
“With its ability to monitor and protect against these attacks, BrandShield is a strategic partner to help identify faster and take down phishing attacks and various online threats from brand impersonators and bad actors,” Borget added.
BrandShield analyses and classifies various threats to eliminate attacks on crypto wallets. It also evaluates threat levels from different digital entities and platforms, such as websites and NFT marketplaces, to find threats that would otherwise be undetectable by traditional cybersecurity technology.
In March and April, BrandShield neutralized 120 phishing sites and 58 fake social media accounts impersonating the metaverse platform, allowing The Sandbox’s economy to operate securely, The Sandbox said.
Meanwhile, Borget told CoinDesk that The Sandbox will also start educating its users about fraud prevention methods.
“Our primary focus is on educating our community and guiding them through our community managers and customer support,” he said. “Since the wallet is where their identification and ownership are stored, not on our servers, we must provide best practices and guidelines for our players and creators so they can remain vigilant against all external threats."
BrandShield
@BrandShieldltd
·
13m
We are proud to announce our partnership with
@TheSandboxGame
, a decentralized #gaming world and subsidiary of
@animocabrands
. With over 3M users trading with 500,000 #crypto wallets, player safety is no small feat.
Check out this
@CoinDesk
article: https://hubs.ly/Q01hbYf70
#BRSD
There is an article on einnews.com from 1 July 2022 with heading "Delphi Infotech to become a value-added distributor for Brand Shield in APAC".
The article starts "In the hour of need" and goes on to announce the strategic partnership. Delphi Infotech are said to provide sales, marketing and technical support for Brand Shield's APAC-based customers. Delphi Infotech is a New Delhi based IT consulting services company.
Same Brandshield? If so, why no RNS? What do they mean by technical support - are Brandshield (assuming one and the same Brandshield) now starting to outsource some operational functions? If so, why? Cost pressures? Is that why the article starts "in the hour of need" ?
Interesting.
yep, just looked at the accounts in more detail. For 2021 revenues increased by $1.6m yet sales and marketing costs increased by $1.7m.
How is that possible?
As you say 10 new customers in 5 months is not great, unless they are all big ones, i would have expected maybe 5 to 10 a month based on the high cost and the supposedly high quality and much in demand product.
I would like to see the BOD provide a clear path to profitability
Absolute joke, future fundraises required to pay for increased director remuneration.
Great news on Weshop, they are to give 90% of the shares away to users ....
90% of BRSD's Weshop holding just got dumped....
Sir Terry Leahy & William Currie - what have they seen that I've missed ?
I made mention of this in an earlier post, but thought I would highlight this in a separate thread. I got this info from the Brandshield accounts (Directors Remuneration section), hopefully I have transcribed these correctly below.
Just consider these numbers in the context of a company which may be considered a startup and is unprofitable and cash burning. Also consider the share price performance. I think the Reverse Takeover share price in December 2020 was set at 20p per share, now trading around 7p per share.
Total remuneration could be both cash benefit and stock benefit. I assume the fees component is a cash benefit. I have combined Yoav and Yuval's figures into a total, but just divide by two to see what each is earning.
Just look at how much director fees could be contributing to cash burn and how well the directors could be considered to be doing out of Brandshield. I imagine it could be a similar story for 2022 when those full year results are revealed. I joke to myself that this is the reason Yoav and Yuval are now always smiling and look so happy in pictures.
I have put the % of total Brandshield revenue in brackets.
2020
Total Brandshield Revenue $2,589,370
Total Directors Remuneration $459,881 (17.8%)
Total Directors Fees $401,749 (15.5%)
Yoav + Yuval Total Remuneration $348,908 (13.5%)
Yoav + Yuval Fees $296,040 (11.4%)
2021
Total Brandshield Revenue $4,127,247
Total Director Remuneration $1,093,137 (26.5%)
Total Director Fees $859,303 (20.8%)
Yoav + Yuval Total Remuneration $840,328 (20.4%)
Yoav + Yuval Total Fees $627,124 (15.2%)
Increase from 2020 to 2021
Total Brandshield Revenue +$1,537,877 ; +59%
Total Directors Remuneration +$633,256 ; +138%
Total Directors Fees +$457,554 ; +114%
Yoav + Yuval Total Remuneration +$491,420 ; +141%
Yoav + Yuval Total Fees +$331,084 ; +112%
So far the expanded sales and marketing team haven't delivered much value 10 new customers this year so far
It's hard to gauge when there is so little information on contract valuations are these new customers bigger clients so the process of onboarding take longer , how much cross selling to existing clients a financial metric would be good
as well as a monthly client wins update number
The intriguing part is why William Currie and Sir Terry have invested and I assume willing to invest again in the next accounting period they obviously see something they like maybe the pipeline of orders , maybe weshop underpins some of the valuation of BrandShield but that's subjective to the share price at the time so hard to value
I would expect ARR to exceed expectations for the year
With the expanded sales push, we shall see
NO REAL EXplanation as to why Leahy gave this lot more money unless hes privy to some big deal makes no sense cuz the cash burn here will nail this company soon.
I originally rated this as a good opportunity, seems to be underperforming especially the the text EpucSurf has highlighted regarding fundraising. Directors not delivering value to the PIs.
I hate to do it but might just cut my losses, had built up a stake averaging 18p, ouch
Only 10 new customers in the first 5 months of 2022 does not seem consistent with the message of a significant market opportunity/interest and in line with the large increase in expenditure on sales and marketing. The ARR growth for 2022 so far must have come primarily from cross/upselling to existing customers, and eventually this will get tapped out.
I also found the directors remuneration section of the financials interesting. In 2020, pre reverse take over, the cofounders/co-CEO's had total remuneration of $174k each. RTO in December 2020 with fund raise, total remuneration for them in 2021 has gone up to $420k each. $313k of the total was listed as fees so assume this part was a cash payment/outflow. Will be interesting to see what this will be for 2022.
These specific directors have large stakes in the company and obviously are being impacted by the share price, but they now seem to be benefiting quite substantially (in my opinion) from what they are now getting through fees. And as the share price drops they seem to get a new batch of options at lower exercise prices (using the last grant of options/warrants as an example). While their ownership stake is high, their downside risk in my opinion is mitigated through director fees and the potential for new option awards at lower exercise prices.
For the average shareholder at the moment, they are just getting hammered by the share price fall with no respite in sight.
Are directors delivering value to the average retail shareholder commensurate with their remuneration and award options ? This is a very closely held company in terms of ownership so I don't think the average retail shareholder voice will ever hold much sway.
If I had to make a prediction and based on pure speculation I think the following: the current goal is that they are trying to find a buyer to offload Brandshield and the price would be in the range of 10p-15p per share. Currie/Leahy will average down their purchase price over the next few years so that they can breakeven or profit slightly. While the hypothetical sale at that price would not be life changing amounts for the directors/co-founders, they would have derived additional benefits until sale through director fees. There may be no further money forthcoming from Currie/Leahy and this could be the only viable option they see as being left.
Not impressed with this bit either
Given the pace of growth within the Company and the Board's stated strategy of continuing to aggressively target client conversion and ARR growth, it is likely that the Company will engage in further fundraising activity within the next accounting period. This will be tailored to opportunities to expand as they present themselves. The Board is confident that access to such funding will be available from recent strategic investors should that need arise. As such, the Directors are confident that this funding will continue and consider that the Group will have access to adequate resources to meet operational requirements for at least 12 months from the date of approval of these financial statements. On this basis, the Directors have formed a judgement, at the time of approving the Financial Statements, that there is a reasonable expectation that the Group has access to adequate resources to continue in operational existence for the foreseeable future. For this reason, the Directors have adopted the going concern basis in preparing the Financial Statements.
no idea why terry is doubling down on the losses here, thats a ridiculous loss
ridiculous expenses and cash burn, totally crazy
hmmmmm
Christ! Maybe it's the recent options granted for 'motivation'. I honestly don't know what's going on here and I've gone from comfortable last year to very uncomfortable on this holding. And that's not just the emotions of a SP decline. We're halfway through the year and I don't feel like we've been meaningfully informed about how the business is performing. It's a really poor show from Yoav.
Interesting to see 4 executions totalling 2.729m shares at and around 6p.
What the hell is happening here?
Sir Terry needs to get involved, otherwise hes just throwing his pocket money away
Interesting when you look at revenue growth versus share price performance from it's high in January 20 2021 -
Annual Revenue rate has risen from-
2019 - $1.92m
2020 - £3.278m
2021 - $5.22m
1st June 2022 - Through $6m
in 30 months ARR has grown 212.50%...
Share price over similar period-
mid Jan 2021 - trading high 34.48p
28th June 2022 - 7.75p
Share price has fallen 77.52%...
Valuation now sits at £10.8m against guidance of $7m (£5.65m) ARR for 2022...
The shares sit on less than 2 times that ARR...
The Elephant in the room is cash burn and the company needs to demonstrate that revenues can start to outstrip spend?
Or should that be a lot going DOWN for it. More falls today, yet a lower launchpad to take off from...
https://t.co/UMSzHPCUSh
Could be interesting.
Brandshield have a lot going on by looks of things.
The Russian / Ukraine war has stepped up cyber warfare a notch, China and North Korea sit in the background.
The extra funding from the placings have allowed BRSD to expand the scope and reach of 3.0 so that it now covers, protects and takes down threats to your IP property.
In addition it also protects your back office, email and cloud based infrastructure etc.
This could quite easily start to multi bag as bigger clients are on boarded - wouldn't discount Earl of Aim just because he is pumping it, there is something here worth researching imo.
Clearly Sir Terry has seen something he liked. He could have just let Curries take the risk but no, he has committed some of his own stash. That speaks volumes. Interestingly, Tesco do seem to have problems with scammers....https://www.tesco.com/help/privacy-and-cookies/privacy-centre/stay-safe-online/social-media-scams/