NEW BRUNSWICK, N.J., March 19, 2018 /PRNewswire/ -- DatChat Incorporated ("DatChat"), an encrypted personal privacy platform, focused on encrypted communication, internet privacy and digital rights management, today updated shareholders on its merger agreement with Spherix Incorporated (NASDAQ: SPEX), its continued blockchain development and mining efforts.
DatChat is pleased to announce that it has agreed to be acquired by Spherix Inc. The transaction is subject to customary closing conditions, including approval of the shareholders of DatChat. The proposed merger would allow DatChat to further develop its encrypted communications platform using proprietary micro-blockchain. Once fully developed, the DatChat blockchain technology will allow each message or file to become its own micro-blockchain that will be permissioned, private and controlled. The DatChat blockchain ecosystem for messaging, file storage and file sharing will be the next evolution our personal privacy platform that will allow for permanent and ephemeral chains, content delivery, mining and true privacy that comes from a decentralized encrypted peer to peer network. This technology is in the development stage.
In addition to the proposed merger with Spherix, DatChat is expanding its "crypto" mining of "Ether." Ether is a cryptocurrency that fuels the Ethereum blockchain network, upon which DatChat's distributed network is being built. DatChat recently launched Ether mining, and the merger with Spherix will allow DatChat to increase those efforts.
Mr. Darin Myman, CEO of DatChat stated, "We are excited about our proposed merger with Spherix. The merger will allow us to expand our privacy platform to include email, file storage, file sharing and financial transactions; while expediting development of our proprietary micro-blockchain technology. We believe that upon implementation, DatChat's micro-blockchain technology will allow users to remain in control of their privacy after they have already shared their information on our secure decentralized peer-peer environment. "
"Internet privacy and cybersecurity lies at the heart of what we do. We realized that consumers had various levels of privacy needs, so to meet those needs, DatChat was developed as a complete messaging platform with ephemeral and privacy features that are always available when you need them," stated Myman.
DatChat was founded three years ago by a team dedicated to creating a personal privacy platform that always provides privacy, control and security. The DatChat Digital Rights Management Technology ("DRM") is the core of the platform. Our initial product is the DatChat Messenger. We are also now focused on developing blockchain and "DRM" to solve cybersecurity issues, including issues relating to messaging, email, files storage and financial transactions. http://www.DatChat.com" http://www.DatChat.com.
Cautionary Statement Regarding Forward-Looking Statements
This press release includes statements related to the proposed merger between DatChat and Spherix that contain forward-looking statements, including statements regarding expected benefits of the merger. Actual results could differ materially from those projected or forecast in the forward-looking statements. Factors that could cause actual results to differ materially include the following: DatChat shareholders may not approve the transaction; the conditions to the completion of the transaction may not be satisfied; closing of the transaction may not occur or may be delayed, either as a result of litigation related to the transaction or otherwise; the parties may be unable to achieve the anticipated benefits of the transaction; DatChat may assume unexpected risks and liabilities; and completing the merger may distract Datchat's management from other important matters. DatChat assumes no obligation to update the information in this release, except as otherwise required by law. Readers are cautioned not to place undue reliance on these forward-looking statements that speak only as of the date hereof.