FIRST BITCOIN CAP COM NPV (OTCMKTS:BITCF) Is Running: Here's What's Next

As the price of bitcoin has risen over the last six months and as mainstream media has increasingly picked up on the digital currency we have sought to pick out some of the leading stocks in the space and highlight them for our readers. We have had a number of big wins to this aim, with companies like BTCS Inc (OTCMKTS:BTCS) returning double-digit percentage points in a matter of weeks. One that can be categorized as such a winner, but also looks set to return further gains as we head into the latter quarters of 2017, is FIRST BITCOIN CAP COM NPV (OTCMKTS:BITCF).We initially highlighted this one back on March 25 as part of this piece. Back then, the company was trading for $0.20 a share. At last close, First Bitcoin Capital went for $0.67 a share, having run up from around $0.36 a share at the start of this month. From our late March coverage to current prices, that's a more than 229% appreciation. Along the way, however, and for those that missed our initial highlighting of this one, we have repeatedlydrawnattention to the stock and – each time we have done so – we have reiterated our bullish thesis. That's plenty of chances to get in on the run.The question now, is, what's next?To date, all we have really known about this one is that the company is attempting to capitalize on blockchain technology as a driver behind future growth. That is pretty vague, and we have noted on a couple of occasions that while we hold a long-term bullish thesis, that thesis is more rooted in the company's ability to establish itself as a first mover as opposed to anything concrete from a fundamental perspective.With its latest announcement, however, First Bitcoin Capital has given us something to go on.On August 8, the company announced that it has sold what is called WeedCoin to an entity called SinglePoint. The press release detailing the sale lists WeedCoin as a fiat currency – that is incorrect. What it really is, is a digital currency that is designed to allow recreational and medicinal cannabis retailers to overcome the issues currently associated with transacting in fiat currency when people buy marijuana. This is a big problem in the US right now, with the divergence between state and federal legislation meaning many dispensaries are having trouble banking their sales revenues and paying tax. The idea behind a digital currency intermediary like WeedCoin is that it allows quick and easy transactions yet removes the direct link to a cannabis sale, which in turn allows banking at both federal and state levels as well as affords the ability to retailers to simply hold their cash in electronic wallets (a WeedCoin wallet, with the 'cash' here being in the form of $Weed).So why is this announcement a big deal right now?Primarily because First Bitcoin Capital has been trying to put the system in place over the last 12 months but hasn't had much luck. The reason that it is been difficult is that customers are having to sign up for WeedCoin wallets at the point-of-purchase, which is time-consuming. Now SinglePoint owns the block associated with $Weed, the two are combining to drive a consumer centric marketing effort, which will see users acquire a wallet (and fill it with $Weed) before they reach a point of purchase. This should streamline the process and should boost participation in this currency. As we have seen with bitcoin, increased participation translates to an increased base price and it's reasonable to assume that, while SinglePoint owns the block, First Bitcoin Capital has a large holding of $Weed that stands to appreciate in value in line with increased consumer adoption.This isn’t a risk-free exposure, of course. Any sort of early-stage crypto currency adoption can be difficult to drive and a large number of these sorts of initial applications have already fallen by the wayside. With SinglePoint now on board, however, and with this concept increasingly becoming a problem for consumers and retailers, there's plenty to suggest that it could be a good move for First Bitcoin Capital and – by proxy – its shareholders.Take a look at our previous coverage of this one here.We will be updating our subscribers as soon as we know more. For the latest updates on BITCF, sign up below!Image courtesy of Tiendientu Vietnam via FlickrDisclosure: We have no position in BITCF and have not been compensated for this article.