Finance Magnates has been informed by a source familiar with the matter that the Cedex.com ICO has been able to raise approximately $20 million while still in the private sale stage. It has yet to reach its public pre-sale stage.

Finance Magnates reached out to sources from both Cedex and Techfinancials, which granted Cedex a $400,000 loan last year, in an attempt to gauge the status of the project, and the alleged $20 million in raised funds in particular.

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TechFinancials declined to provide comment with regard to the amount of funds raised at this point.

Ronen Priwer, founder of Cedex.com, offered his remarks: “We raised a very significant amount to this point. The early sale to private entities is progressing well and approaching our target, while the stage of public and substantial sale remains ahead of us, as we attempt to reach our overall goal.”

High demand

The inception of Cedex was initially publicized in October of last year, when financial technology provider TechFinancials invested in it to help it develop the necessary technology to achieve its goals.

In return for the interest-free loan, TechFinancials received the option to purchase up to 90% of a newly created holding company called CEDEX HoldCo. TechFinancials retains the decision in its hands, and has been granted a total of 3 years from the date at which the loan was issued to exercise its option.

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However, it has been reported that high demand has led Cedex to sell off a great deal of Cedex coins in return for Bitcoin and Ethereum, consequently lowering TechFinancials’ purchase option from 90% to 85.5%.

Blockchain-based diamond exchange

Cedex is a venture that is composed of a group of companies that are attempting to develop a blockchain-based online diamond exchange. Its goal is to implement technology which could turn diamonds into a tradeable asset class.

While the Cedex.com project remains in its infancy, it is certainly impressive that it has been able to raise such a substantial sum prior to the official pre-sale launch.

According to a TechFinancials statement on the London Stock Exchange website, the high demand for Cedex tokens during the private sale has led the company to increase the number of available tokens during this stage from 10 million to 25 million.

Subsequently, the number of tokens that will be available for sale at the public stage has been reduced from 40 million to 25 million.

TechFinancials endured a relatively difficult 2017. The company’s H1 financial report indicated that the company recorded a loss to start the year. As the financial world focuses on the surging cryptocurrency space, perhaps the Cedex investment, as well as other blockchain projects, could infuse the company with new avenues of income.