Chijet Motor Company, Inc. entered into a definitive agreement to purchase up to $1 billion of EdgeAI tokens at a 20% discount to prevailing market prices, creating an upfront value of roughly $200 million. The deal also grants Chijet a validator node position on the EdgeAI network, positioning the company to earn staking rewards and generate recurring revenue streams as part of the partnership’s five‑year term.
The transaction signals a strategic pivot for Chijet, which has historically focused on traditional and new‑energy vehicle manufacturing. By securing a large block of EdgeAI tokens and a validator role, Chijet aims to diversify its revenue base and strengthen its digital‑asset treasury. CEO Melissa Chen emphasized that the deal delivers “substantial immediate value for our shareholders—approximately $200 million” and bridges the company’s legacy manufacturing operations with the emerging edge‑intelligence blockchain ecosystem.
Information on the EdgeAI token’s current market price and overall market capitalization is limited, and reliable data sources are scarce. The 20% discount is therefore difficult to benchmark against a clear market value, but the agreed cap of $1 billion indicates a significant commitment to the token’s long‑term potential. The partnership also includes EdgeAI acting as Chijet’s primary advisor on digital assets, covering token acquisition, treasury management, and risk mitigation, and the parties plan to explore a joint multi‑strategy digital‑asset investment vehicle.
Chijet’s financial performance in 2024 was challenging, with a 27% decline in revenue and substantial losses, leading to concerns about the company’s financial strength. The $200 million upfront value from the token purchase represents a meaningful infusion of liquidity that could help offset recent losses and support ongoing operations. However, the company’s high volatility and prior compliance issues with Nasdaq’s minimum bid price requirement underscore the risks associated with this large digital‑asset investment.
The announcement was met with a strong market reaction, with analysts noting the immediate $200 million value and the potential for recurring revenue from staking rewards. The partnership’s strategic focus on edge‑intelligence and the validator node role were highlighted as key drivers of investor interest, reflecting a broader appetite for companies that are integrating blockchain technology into their core operations.
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