Tuesday, March 30, 2021

SOS- Decoding of PR plus Analysis of Current and Future Activities - PRs of 24th, 29th and 30th of March 2021

SOS Analysis

SOS’ PRs of 24th and 30th of March 2021 - Analysis

Decoding of PRs plus Analysis of Current and Future Activities

Another Analysis made by Retail Investor for Retail Investors

Disclaimer

This is the 3rd analysis published by me that intends to inform every single retail investor for important facts and data regarding SOS Limited stock. All this information based on doxing I have made regarding the company SOS Limited and all effective factors so far involved in the price move of its stock. In order to make it easier for all to verify the information laid here, I will refer also every single link that gives the proof of evidence. This is not a consultation for trading, it is a report from a retail investor who reads and searches very well the company he invested in so to be sure for the potential expected in the upcoming period. More light to SOS activities, more information regarding what SOS does and most importantly what is able to do in FUTURE.

My previous 2 reports can be found in the following links:

  1. SOS Analysis of of March 2021 HERE
  2. 2. SOS Analysis of 15th of March 2021 HERE

Introduction

As everyone can see, PRs made by companies are very short as a result of restrictions put by SEC regarding the contents of a Press Release. For SOS Limited which has a very complicated group of activities, especially in innovating cloud and blockchain sector, we should have a greater explanation, understandable by the single retail investor. In this way, more people will understand what is scheduled to happen and what the potential of the company is, if what is in PR takes place.

SOS Limited is a China-based company and therefore PRs published have a usual “Asian Philosophy” of expression: They have the shortest size without long descriptions. This increases the need of average retail investor to have more information analyzed and as this is not done by the company, “somebody has to do it”.

SOS PR of 24th of March 2021

SOS Limited (NYSE: SOS) (the “Company” or “SOS”) announced today that it has taken preliminary steps to establish a digital asset exchange*. Specifically, the Company entered into* a tailor-made license to use a blockchain asset exchange software system made by a third party in exchange for a one-time licensing fee.

Once the software is installed and operational, the Company expects to establish a digital asset exchange*. The Company also intends to offer* security and insurance services for digital assets*. The Company’s Chairman and Chief Executive Officer, Yandai Wang, commented “This is a key step in our blockchain and cryptocurrency strategy. The digital asset exchange is an important part of our goal to provide* blockchain services, digital asset security services and Decentralized Finance (DeFi) services*.*

PS: I have underlined and made bold the key phrases which are going to be analyzed further. You can find the PR of SOS Limited in the following link:

https://service.sosyun.com/sos_en/news_list_210324.html

Analysis of PR of 24th of March 2021

I will try to give a detailed information regarding the contents of the PR published by SOS Limited on 24th of March 2021. Especially to the points I have made "bold" previously in PR above:

Digital Asset Exchange

A digital asset exchange (DAX), or digital currency exchange (DCE), is an online business that allows customers to trade cryptocurrencies or digital currencies for other assets, such as conventional government-issued fiat money or other digital currencies. Some digital currencies may be represented and backed by entire classes of real-world commodities, such as valuable metals (like gold and platinum) and real estate shares. Crypto exchanges usually strive to have diverse financial options for funds depositing and withdrawal - they may accept PayPal and credit card payments, bank wire transfer deposits and withdrawals, or other forms of charge in exchange for cryptocurrencies or digital assets.

Digital Asset Exchange means several new activities and potential which can offer revenue/profit to SOS Limited:

Retail customers buy/sell cryptocurrencies (not only BTC and ETH that SOS mines) by using fiat money (bank wire transfer, Paypal, Credit cards) or other cryptocurrencies (convert one cryptocurrency to another). All these transactions can give commission for SOS Limited of course.

Blockchain Asset Exchange Software System

A digital asset exchange software is not limited only for buy-sell cryptocurrencies. There is a group of activities that can boost the profit of a company by giving innovating abilities. A Blockchain Asset Exchange Software can offer Crypto Market Making and Crypto Exchange Liquidity advantages. What are these?

  1. Crypto Market Maker: Crypto market making involves providing liquidity on a defined cryptocurrency by submitting both bid and ask limit orders on a crypto exchange Market makers make a profit by collecting the bid-ask spread over multiple trades. SOS will have own BTC and ETH crypto-coins to offer Crypto Exchange Liquidity.
  2. Crypto exchange liquidity defines how quickly and easily a digital asset can be bought or sold at a stable price on a given market. The quicker you can buy or sell a crypto-asset as close to your asking price as possible - the more liquid a cryptocurrency exchange is.

Such Software enables professional market makers and cryptocurrency exchange platform owners to populate their order books with relevant bid-ask orders at a high market-making level, with a good spread, and without having to worry about the potential lack of liquidity on their new platform.

· Automate your cryptocurrency trading: You can start automated trading out-of-the-box on centralized exchanges and decentralized protocols using our customizable built-in strategies or implement your secret strategy logic.

· Provide Consistent Spread: Proceed with comfortable spreads to limit exposure and, based on trading dynamics at your markets, adapt accordingly to optimize the sweet spot where an efficient spread has the best effect on financial market efficiencies while ensuring your profits.

· Hotlink Orders: You can stream additional liquidity for your digital asset exchange from any third-party exchange like Binance Chain, Huobi, Bitfinex or any other liquidity provider of your choice through configurable API endpoints.

· Aggregate Order Books: Combine the bid-ask orders on your platform with the shares available at a specific price from the third-party liquidity providers.

Security and Insurance services for digital assets

Any Crypto exchange platform must have Security services. The reason is simple: It is because of cyber-crimes against crypto wallets, cyber thefts (the new digital type of traditional “theft”) and every single security risk related to crypto-transactions and crypto-deposits in digital wallets. SOS Limited intends to offer a high level of Security Services for the crypto-owners who will trust its Security Systems. This is fine, until something happens and a cyber-crime takes place giving a bad result such a loss of Cryptocoins of customers. What happens next?

Here is the Great Value of Insurance Services that SOS Limited intends to establish. If you have insurance for the contents of your wallet and there is an incident of Cyber-Stealing of cryptos, despite high level of Security Services, then you are PROTECTED. No matter what happens, if you have your money under Insurance Contract, then the Insurance Company will return back 100% of what the Cyber-Criminal stole you. And this is a TOTAL SECURE solution.

Historically, crime insurance has insured the value of assets being held by an investor or custodian, while cyber insurance has responded to first-party losses and third-party liability associated with network security, data privacy, and system failure events. And for companies in the emerging digital asset space, it can be challenging to find insurance capacity at reasonable pricing. SOS Limited since late 2020 is under negotiation for acquisition of Insurance Company in China and now we can understand and conclude that intention of SOS is to have these Insurance services in a low and competitive price. Providing Insurance for the crypto-deposits of its customers, by its OWN Insurance Company, the cost is very low and therefore can provide it in the lowest cost to the market.

Decentralized Finance Services (DeFi)

Decentralized finance (commonly referred to as DeFi) is a blockchain-based form of finance that does not rely on central financial intermediaries such as brokerages, exchanges, or banks to offer traditional financial instruments, and instead utilizes smart contracts on blockchains, the most common being Ethereum. DeFi platforms allow people to lend or borrow funds from others, speculate on price movements on a range of assets using derivatives, trade cryptocurrencies, insure against risks, and earn interest in savings-like accounts. Some DeFi applications promote high interest rates but are subject to high risk. By October 2020, over $11 billion (worth in cryptocurrency) was deposited in various decentralized finance protocols, which represented more than a tenfold growth during the course of 2020. As of January 2021, approximately $20.5 billion was invested in DeFi.

Decentralized finance (DeFi) is an activity that can be provided by a Crypto Exchange Software Platform and give you benefits by avoiding costs of centralized financial intermediaries. In simple words, you will able to make full procedure by yourself: Get fiat money payments, make conversion to crypto currency, interchange cryptos and convert cryptos to fiat money withdrawals all in your platform. As the risk of Decentralized Finance is bigger according to historical data, combining Insurance Services for Digital Assets by SOS Limited, there will be a Total Service that has practically no competence. SOS Limited is mining ETH with 707G since 14th of March and after April its ETH mining power will be 1056G. SOS will have both BTC and ETH mined to offer liquidity of crypto-coins for establishing trading and advanced services included in DeFi and other innovative Crypto Exchange Software platform.

Activities that have been mentioned in previous PR of 9th of March 2021

Although SOS Limited has been connected strongly with BTC, the company has a plenty of different activities despite BTC and ETH mining:

· We provide a wide range of data mining and analysis services to our corporate and individual members, including providing marketing data, technology and solutions for insurance companies, emergency rescue services, and insurance product and health care information portal in China. Our mission is to make it easier, safer and more efficient for our clients to obtain and process the data of their target customers.

· We primarily address the large unmet demand for marketing-related data for clients such as insurance companies, financial institutions, medical institutions, healthcare providers and other service providers in the emergency rescue services industry by creating a SOS cloud emergency rescue service software as a service (SaaS) platform.

· Recently, we have launched our crypto mining business, and aim to start infrastructure services in blockchain security for our big data insurance marketing as well as provide insurance and banking services for digital assets and crypto currencies.

You can find the PR of 9th March 2021 in the following link:

https://service.sosyun.com/sos_en/news_list_210309.html

All following activities can be found in website of SOS Limited:

Medical Rescue Services

Provide the following services for users through satellite communication, network community, app, wechat, telephone and other high technologies:

https://preview.redd.it/e01xawk157q61.png?width=661&format=png&auto=webp&s=a916175f3af7f02f816a7a17840de202e5f93cd7

SOS Limited offers solutions to insurance companies connecting customers to medical service providers via communication tools, mainly web based (VoIP). This is a cost effective solution followed for many years by insurance companies who wanted to avoid numerous personnel in helpdesk lines which are forced to have due to the character of their business activity. Do not forget that insurance incidents in medical level must have a 24/365 Helpdesk capable to handle dozens of simultaneous incoming calls; you need many people working for you 24h to achieve effective Helpdesk and the cost for those many workers is HIGH. This support of SOS Limited targets also the travelers (Chinese travel a lot) who are away of their habitual residence and are in need of medical need in the place of their destination.

Vehicle Rescue Service

When the car owner encounters a fault, such as suddenly unable to start, unable to start after flameout, no fuel, no power, or even a tire burst on the road, he can contact SOS Limited for rescue service:

https://preview.redd.it/c2hvmws257q61.png?width=661&format=png&auto=webp&s=e3d2fa70fb4177ce4cc8ad599d4a76fb81b81433

Another helpdesk by SOS Limited connecting customers and Vehicle Assistance companies. For anything that can happen during a ride, SOS Limited is there to receive your call and offer rescue service by contacting Assistance company and arrange the Rescue for you and your vehicle.

Financial Rescue Service

Respond to the uncertain economic situation and various accident and disaster risks, and provide users with emergency rescue services for financial life

https://preview.redd.it/uxqrcbx357q61.png?width=661&format=png&auto=webp&s=9c3ce8e4c4bce5ecf9a036f825841a2684d0861d

It seems that SOS Limited has the ability of Financial Credit Services which is used to cover emergency situations such as urgent need of a vehicle, urgent need for credit card repayment or urgent need of financial rescue because of a bad incident, a bad situation you are in.

Life Rescue Service

Respond to various accident and disaster risks, and provide users with emergency rescue services for you or your beloved persons:

https://preview.redd.it/n3pwuqv457q61.png?width=661&format=png&auto=webp&s=7576cadd81ea6d4ac32bb16bde3e495163deff2f

SOS Limited having cooperation with Insurance Companies, Vehicle Assistance Companies and having Financial Credit Services, can also provide Assistance solutions to both your family members (when you are away) and you when your life is in danger (even if you are abroad).

Air Rescue Service

When the local medical treatment conditions and level cannot meet the treatment of the injured, the injured need to be transferred to the medical and health institutions that meet the treatment conditions, or to the original country of residence. Similar reasons for transfer include emergency and safe evacuation, etc

https://preview.redd.it/zd5xiu6657q61.png?width=623&format=png&auto=webp&s=e3c57a1a324da05165e9a441e6f6243392c2bd1e

CONCLUSION: Obviously, SOS Limited has used current cooperation with its clients to build up New Services of added value (and added Revenue/Profit as well). This is a Smart Strategy for Combined Services by SOS Limited proving that they know how to use every inch of their activity to create more profit for them. Great potential for future activities too. If SOS Limited follows the same strategy in upcoming Blockchain Services, we will be positively shocked. I see great potential in future.

MINING CRYPTO ACTIVITY (part of my 2nd Analysis too on 15th of March 2021)

The most interesting for retail investor activity. SOS Limited achieved to buy 15,465 mining machines from a company which did not want to uncover identity. The buy of these rigs is already payed despite a small amount left just before arrival of the 3rd batch. This, because mining machines are in great luck last 6 months and some producers have signed exclusive sales to some bitcoin mining companies. All these machines are used already and seems to be the fastest solution to start mining cryptocoins.

From the total 15,465 rigs, the first batch of 5,000 rigs arrived on 9th of February and are already online mining. The second batch of 5,000 rigs arrived on 24th of February and have been installed also on 15th of March 2021. The third batch of 5,465 rigs will arrive on or about 15th of April 2021 and are going to be functional on end of April or on early May. It is vital to understand that SOS Limited is mining BOTH BTC and ETH, which is very good because ETH has a greater potential than even BTC according to crypto experts. First batch of miners are mining BTC, the second batch will be online for BTC and ETH mining and the 3rd batch is upon decision of the company what to do.

CURRENT RIGS AND FUTURE ACQUITION OF MINING RIGS

What kind of rigs has SOS Limited bought? According to the company in PR given here https://service.sosyun.com/sos_en/news_list_210309.html they bought Momentum T2T and A10 Pro models. Which models are these and which their specifications?

https://preview.redd.it/ep4vqzz957q61.png?width=590&format=png&auto=webp&s=82909bca017abab3d786c25610c552a80fd72eaa

As we do not know exactly the number of each model in the lot bought, I have made a reverse calculation to check how many miners (dividing total Hashrate of each cryptocoin with each type rig’s Hashrate) have been in the published mining ability by SOS Limited:

BTC:541 Petahash/37 Terahash = 541000 Th/37 Th= 14,621 mining rigs

ETH:1082 Gigahash/500 Megahash = 1082000 Mh/500 Mh =2,164 mining rigs

If we add the numbers of BTC and ETH rigs, we have a total of 14621+2164= 16785

And the vital question is: Where are the rest of 16785-15645= 1320 rigs?

The answer is possibly in the specific comment of SOS Limited right here**:** “Some of the rigs include components which are similar to those contained in the HY-Momentum T2T and HY-A10 Pro, although they are not necessarily these particular branded models***.”***

That means, SOS Limited bought a lot of used machines, which have characteristics same or similar to these models and are going to give a TOTAL HASHRATE POWER of 541P for BTC and 1082G for ETH mining. Because this is the important thing: The acquired Hashrate of the lot of rigs and not the models. Why? Because they are used and maybe there are changes in the components like all we do in our personal computers; imagine that we are talking for machines working 24/365 which may had damages and needed the replacement of parts. This is not a fraud statement made by SOS Limited but a realistic view of an investor for a lot of used machines SOS bought because they could not find stock of BRAND NEW mining rigs in 2021.

We expect SOS Limited to announce cryptocoins mined and then we will see in practice if the announced ability of 541P for BTC and 1082G for ETH is real or not. But this can happen only after the installation of the last (3rd) batch which will arrive on 15th of April and will get functional early May 2021.

Will SOS Limited stop buying miners in 2021? I think will NOT (my opinion). There is a lack of miners because of the outstanding need globally but they will surely seek for new or used rigs as they have Chinese to negotiate and it is easier to make it happen (1) and also plenty of cash to give for these buys (2) which will be analyzed later in this report. Around 300 million of $ in cash today and they already payed 20 million $ for these 15,465 rigs (“The Company has already paid for all three batches, with a small holdback that will be paid upon delivery of the third batch.”).

On my opinion, I think that they can raise the number of their rigs to 100k as they do have the ABILITY of CASH to achieve it.

I do not expect SOS Limited to announce the search they do for mining rigs because all mining companies do their best to find machines. I believe that from time to time they will announce future purchases after they have sealed the deals only and possibly without publishing the identity of the sellers (for reasons I mentioned previously).

With these 15,465 rigs mining activity is going to be according to SOS Limited, after the Press Release issued on 15th of March 2021:

1st batch: 175P for BTC

2nd batch: 353P for BTC and 707G for ETH

3rd batch: 168P for BTC and 375G for ETH

According to precise mining profit calculators, giving the ability of 527P for BTC and 1056G for ETH giving:

BTC: 1.91 BTC/day, 58.10 BTC/month, 697 BTC/year, which equals with BTC price of 55,000$ => 697*55,000$= 20.77 million$ profit per year

ETH: 64.43 ETH/day, 1,933 ETH/month, 23,520 ETH/year, which equals with ETH price of 1,774$ => 40.96 million$ profit per year

https://preview.redd.it/mjvz569f57q61.png?width=637&format=png&auto=webp&s=7b457f06485b5ff680ac401ffda789d23c57551b

BTC mining calculator: https://www.buybitcoinworldwide.com/mining/calculator/

ETH mining calculator : https://www.cryptocompare.com/mining/calculator/eth?HashingPower=1082&HashingUnit=GH%2Fs&PowerConsumption=1&CostPerkWh=&MiningPoolFee=1

AFTER 2ND BATCH INSTALLED

SOS combined mining power after 2nd batch for BTC and ETH

Assumptions for 2nd batch of rigs:

By diving BTC and ETH Hashrates to the total Hashrate of the 2 batches, you get a portion which is multiplied with the number of machines announced in press release for the lot of rigs. Therefore I assume that the second batch had 4057 rigs for BTC and 943 rigs for ETH giving an online mining farm of 9057 rigs for BTC and 943 rigs for ETH. The 3rd batch is expected to have 5181 rigs for BTC and 465 rigs for ETH.

After installation of whole lot of 3 batches in late April or early May 2021, mining farm will have:

5000 rigs BTC (1st) + (4057 rigs BTC+ 943 rigs ETH) (2nd) + (5181 rigs BTC + 465 ETH) (3rd) =

15646 rigs in TOTAL, having 14238 rigs for BTC and 1408 rigs for ETH

The earlier installation (many days before expected according to previous published PR of SOS) of 2nd batch of rigs, gave an additional $3,414,033 PROFIT for SOS Limited (compared to the prediction of Analysis on 13th of March 2021). Imagine that the sooner before 15th of May (the later expected date of 3rd batch online) whole lot of rigs activated, more profit for SOS Limited to come than predicted above.

https://preview.redd.it/591zeffl57q61.png?width=728&format=png&auto=webp&s=7b55397e70b0ea26a5b494bbf7ca5dda418ba42f

Assumptions for the calculation

  1. BTC price for calculations = 55,000$ and ETH price for calculations = 1,773$
  2. Total Hashrates for BTC and ETH were divided by the total number of rigs to have the average Hashrate of each rig. For BTC 527P/14,238rigs and for ETH 1056G/1,408rigs. This average hashrate was imported in calculations for every batch of rigs.
  3. Energy consumption costs calculated having an average of 3100W for each BTC rig (consumption of T2-T model) and 1350W for each ETH rig (consumption of A-10 Pro+ model).
  4. I have picked the later dates to get online 3rd batch of rigs, expected dates I mention are upon the period needed for 1st batch to get online (14 days-9th Feb to 23rd Feb). 2nd batch needed 20 days to get online.

Calculation of Energy Cost for Mining

Energy for the mining activity is with Hydropower company Leibodong in Definite Agreement (renewable energy, environmentally friendly) with a cost between 0.22-0.38 RMB/Kwh. An average cost is 0.3RMB which is equal to 0.0461$/Kwh. This cost for energy gives to the mining activity, a total energy cost/year for BTC mining (estimated 14,238 rigs of 3.1KW) of 17.58 million$ and ETH mining (estimated 1,408 rigs of 0.95KW) of 0.77 million $.

Total profit of mining BTC and ETH (if crypto prices do NOT raise at all) will be yearly (ONLY having these 15,465 rigs installed) around 64,47 million$.

Break even point for BTC mining and ETH mining (the price of crypto where company has no profit and the cost of energy is equal to the value of mined crypto) is for BTC 25,223$ and for ETH 35$. Below these prices company has damage and above these prices SOS Limited has profit from mining.

PRICE OF SOS LIMITED AND ATTACKS IN RECENT PERIOD

Most of the retail investors are very unhappy with the price of the stock SOS Limited has. Since the peak of 17th of February 2021 (12.8$) the stock has declined with a minimum price of 4.77$ on 26th of February 2021. Let’s see the reasons analyzed and understand where we are and where we can go.

SOS Limited has made several Registered Direct Offerings for a huge amount of money in a very short period, guided of the peak of the stock even in 15.86$. Every company with common sense chooses a very good momentum for the price of stock to make offerings because in this specific period the shares will be absorbed more easily by the market. You can not avoid a small decrease of the price but usually, after a Direct Offering, stock flies high as it becomes stronger by increasing its market cap with new money from investors. Let’s see the list of Direct Offerings and Warrants’ Exercise made:

Direct Offerings and Warrants’ Exercise

SOS Limited got tons of cash in 2021. In 41 days (from 8th of January to 25th of February) SOS Limited got in total 317.7 million $:

8th of January 2021: 25 million $ in Registered Direct Offering https://service.sosyun.com/sos_en/news_list_210108.html

12th of February 2021: 110 million $ Registered Direct Offering

https://service.sosyun.com/sos_en/news_list_210212.html

18th of February 2021: 86 million $ Registered Direct Offering

https://service.sosyun.com/sos_en/news_list_210218.html

25th of February 2021: 96.7 million $ Exercise of Warrants

https://service.sosyun.com/sos_en/news_list_210225.html

CASH OF SOS LIMITED

This amount of cash ($317.7 million) is great for the size of SOS Limited and its market cap it has. Almost 40% of its current market cap is money in cash. Huge offerings in a short period of time produced a great cash ability for the company. Cash is a tool for several things: To buy more miners during 2021 (a), to establish earlier Crypto-Insurance Service and Crypto-bank, the first of its kind in planet (investment in new services-expansion of current services) (b) and to buy back shares in order to fight Short Funds (c).

For all the above reasons CASH is a MUST HAVE parameter. Without them, no development exists for the company. I have to add that SOS Limited has ZERO DEBT so it is not chased by Bank Institutions for loan payments. For every single retail investor, this “Zero Debt” feeling is very well known, how great it is.

If you add $125 million from Registered Direct Offering of 30th of March 2021, SOS Limited has gathered almost $442 million in cash on 1st of April. For 70k mining rigs of mining power 6.65EH/s for BTC, Marathon payed $170 million (https://ir.marathondh.com/press-releases/detail/1218/marathon-patent-group-purchases-70000-s-19-asic-miners). So, you can easily understand with $442 million in your pocket that you can buy more than 15 EH/s mining power for BTC. Although SOS Limited will surely (on my opinion) choose to invest in both BTC and ETH mining.

JOINT VENTURE with RONGHE FINANCE

What is joint venture? Joint venture is a new company with specific role which will be owned 51% by SOS and 49% by Ronghe Finance. SOS Ronghe Digital Technology Co., Ltd. will be the name of the joint venture.

The mission of the joint venture is to establish the first large-scale Supercomputing Center in Qingdao and become a leading data and supercomputing and R&D base in China. SOS-Ronghe is expected be primarily focused on the following fields: cloud computing, high performance computing, big data, blockchain-based asset and cryptocurrency activities.

About Ronghe Holding

Qingdao West Coast New Area Ronghe Holding Group Co., Ltd. is a state-owned holding company in Qingdao West Coast New Area, with an AAA corporate credit rating according to China Lianhe Credit Rating Co. Ltd. It plays a key role in the industrial investment, capital operation and equity management in promoting urban development, civil-military integration, science and technology development, venture capital, medical and health care, major transportation facilities, comprehensive land development, island protection and utilization, and functional zone construction and park operations in the Qingdao West Coast New Area. For more information, please visit: http://rongkong.net.cn/

Analysis for the joint venture SOS Ronghe Digital Technology Co., Ltd:

As we mentioned above, SOS Limited knows how to combine activities and get the maximum added value from them. In order to offer Insurance service which is the game-changer ability for digital wallets of cryptocoin owners, SOS needs a reliable partner to guarantee (which has the credit rating to make it happen) for this Insurance cover. One great partner is Ronghe Finance because: a) It is state-owned holding company which means a lot for China (it is like government organization more or less, no government kills its "children"), b) Mother holding company (Qingdao West Coast New Area Ronghe Holding Group) has a triple A ("AAA") credit ranking which means that it is totally reliable company and can guarantee with minimum cash money the maximum possible value of insurance covers.

Cooperation for Supercomputing Center is the start of cooperation I think. Next step I think it will be the cooperation with Crypto-Insurance and Credit Services to Crypto-Bank of SOS Limited. Because if this happens, SOS Limited will fly above competitors for something very unique: Despite the high Security level for Crypto-Bank, Insurance for digital wallets (return the stolen money in case of cyber crime-steal) it is the absolutely incredible advantage to gain customers from whole planet.

PENDING EVENTS IN NEAR FUTURE-TIMELINE

15th-31st of March: 5,000 rigs of 2nd batch to work mining BTC and ETH INSTALLED 15th March

1st-15th of April: 5,646 rigs of 3rd batch to arrive for installation

30th of April: Annual Earnings' Report for 2020\*

1st-15th of May: 5,646 rigs of 3rd batch to work mining BTC and ETH

15th of May to 15th of June: Q1 2021 Earnings Release

*Outstanding Revenue Growth Expected for Full Year 2020

Based on information available as of today, full year 2020 revenue is expected to be approximately $49.5 million***, representing growth of 451% compared to that of 2019****. The revenue's robust growth is primarily due to the effective execution of the Company's business transformation strategy, which enabled us to cease our legacy peer-to-peer lending business and focus on providing marketing-related data for clients such as insurance companies, financial institutions, medical institutions, healthcare providers and other service providers in the emergency rescue services industry. The gross margin is expected to be approximately 9%, up from 5% last year. US GAAP net profit gain is expected to be approximately $3.1 million.* https://www.prnewswire.com/news-releases/sos-ltd-announces-estimated-fiscal-year-2020-financial-results-301196617.html

As calculated before, crypto mining activity in 2021 will offer an approximate total of $80 million to the revenue of the company (add mining/year of BTC and ETH), only with these 15,465 mining rigs. If SOS Limited buys more rigs, the added amount for revenue (and accordingly the added profit) will be outstanding.

ENDING COMMENT

I did not write this analysis in order to guide you to buy, hold or sell this stock. Feeling in the center of a spam attack, as an owner of shares in SOS Limited, I thought that is better to gather some information missed in analysis many people have made so far. I wanted to add something new: An exploration of SOS activities given in the last PR plus the current activities that offered a 451% increase in revenue of 2020.

I did not get into the details of “Reports” by Hindenburg and Culper not because I wanted to avoid issuing the false points mentioned in them; already simple retail investors have published point to point some posts, making these “Reports” totally inaccurate. A very solid answer to the “Reports” of Hindenburg and Culper was the Scorpion VC report with the title “SOS LTD -A potential stock company that has been maliciously shorted” (http://www.scorpio.vc/pdf/210303/c02406db-fa23-4943-9c7f-445b041f4728.pdf) having a very interesting paragraph for Future Prospects:

https://preview.redd.it/svkqqmh7a7q61.png?width=661&format=png&auto=webp&s=918fac97c69eb1d0b956723d499aed6fefb79d92

SOS also is the only (as far as I can know) mining company which published videos of its mining rigs https://service.sosyun.com/sos_cn/sosVideo.html

PRICE TARGET OF SOS

Scorpions VC made their analysis (check the link above) and gave a Price Target of 40$. According their increase in revenue in all other activities (cloud services, insurance and hosting for data of companies) plus the development of serious crypto mining activity, the share is going to explode and reach the price of other crypto miners such as MARA and RIOT. If we consider that SOS Limited will be able to offer the 1st Crypto Bank and Crypto Insurance in the planet, maybe the PT of 40$ seems too moderate. Future will show us the truth.

All calculations of averages, costs, profits, gains and other results are explained, so to be evaluated, verified, cross-checked by anyone. All results are approximate, with the greater possible accuracy a retail investor could have in his calculations, based on data which are online.

GOOD LUCK TO ALL IN EVERY SINGLE STOCK YOU INVEST IN. DO YOUR DD AND DECIDE.


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