Quantum Blockchain Technologies PLC (AIM:QBT, FRA:BYA1) is advancing its patent, AI and mining hardware strategy, according to chief executive Francesco Gardin.
In an interview with Proactive, Gardin outlined progress on the company’s US ASIC Ultraboost patent application and ongoing engagement with examiners.
He also detailed developments in AI software deployment and hardware testing, alongside efforts to reduce the company’s bond exposure.
Proactive: Francesco, very good to speak to you this morning. Can you tell us what's happening with the US patent ASIC Ultraboost applications?
Francesco Gardin: Good morning, Stephen. Thank you for having me with you again. Yes, of course. We just wanted to keep our shareholders updated on the various steps of the process. We try to get a fast response from the examiner, which is why our US patent attorney organised this call towards the second half of April.
We are now working to give solid and robust responses, and especially our inventor, whose work is mentioned in the patent, is trying to explain why his new ideas are different from what he presented in his master’s thesis back in 2013 at UCL. So it’s not nice in terms of the energy that this absorbs, but we started the process and we want to get to the end of this process.
We feel that a compromise could be found with the examiners by maybe reducing the broadness of the claims. But we definitely think that this is an invention which is innovative and we will work very hard to get it to be granted.
Proactive: Meanwhile, could you give us also an update on the AI software Oracle implementation, which is going on at the QBT lab at Milan University, Francesco?
Francesco Gardin: Sure. So in the initial phase, we are getting control of the machine, it is a totally new machine. I must say that the ASIC manufacturer has been extremely helpful. They shared with us tons of documents and software, so that part is going well.
The latest thing is that, as we announced on the 6th of March, together with the mining rig, the MDK (Mining Development Kit) was about to be shipped. It is now being shipped to Oregon, we’re testing it, and hopefully it will be in Milan just after Easter.
This is particularly important because the Oracle has been developing in parallel. The machine can be implemented on a server, which is far easier because of the richer environment that you have in a server, and therefore this may speed up the process.
They promised to deliver the mining rig and the MDK, and they have done it. They sent us two: one we will keep in Oregon for an expert there to double-check and back up the system. So everything is going according to plans.
Proactive: Meanwhile, your bondholders meeting is scheduled for the 15th of April, Francesco. How are preparations going?
Francesco Gardin: The bond was one of the baggages that we had to take on board in 2015 when we decided to avoid the company going bankrupt. One of the conditions I set to join the board was that the bondholders should support us until such time when we could either repay the bond or convert it.
At the time, the conversion price was 15p, which was astronomical and based on the value of the company a long time ago. Each time we ask for an extension, the bondholder wants something in return, and the negotiation is based on the conversion price.
Now the conversion price has been reduced. We should keep in mind that we had another conversion of bonds of nearly 2 million a few years ago. So we have to reduce the exposure to this bond, and we hope that slowly we will be able to convert into equities or reduce this exposure for the company.
It’s a long process, but the key bondholder and shareholder has been totally supportive over the years, and we are really grateful.
Proactive: Well, I hope you'll keep us updated on progress with that. Francesco, thank you very much for your time today.