LuxTag, a Malaysian solution provider that secures valuable assets on the NEM blockchain, has secured US$600,000 in funding from a seed round led by XSquared Ventures. This round of funding will push LuxTag’s valuation to over US $6.6 million. LuxTag provides digitized certificates of authenticity for products registered on a blockchain. The LuxTag technology allows these certificates to be immutable, updatable, and flexibly transferrable.
The negotiations began in late last year when representatives from XSquared Ventures visited LuxTag’s office. Jeff McDonald, CTO of LuxTag brought the dialogues further, visiting XSquared Ventures in early 2018. The collaboration finalized the agreement in May 2018. XSquared Ventures has experience investing in another blockchain company, He3.
Besides the relationship value that this partnership will bring to the company, this investment will allow LuxTag to further their mission of combating counterfeits through the introduction of a tamper-proof authentication.
LuxTag plans on using this funding to expand its operations, hiring more developers to decrease the time needed to complete development work on NEM Catapult, the open source core blockchain technology, considered to be the NEM version 2.0. LuxTag will also set up services in the United States dedicated to customer support and product integration.