Shares of NXT-ID Inc (NASDAQ:NXTD) got a boost on Wednesday after the company announced that it received a $1.2 M dollar payment from WorldVentures as part of a total of $2.5 million for the first production run of the DreamTrips SmartCards to be delivered at the end of July. This is a nice cash infusion for a company with just a $22 million market cap. We’ve been pounding the table on NXTD since the beginning of the year and we believe the company is making all the right moves and presents a compelling growth story for investors. As investors will soon found out, we expect NXTD to deliver some big news soon.
NXT-ID describes itself as “an emerging growth technology company that is focused on products, solutions, and services for security on mobile devices. Our core technologies consist of those that support digital payments, biometric identification, encryption, sensors, and miniaturization. We have three distinct lines of business that we are currently pursuing: mobile commerce, primarily through the application of secure digital payment technologies; biometric access control applications, and Department of Defense contracting. Our initial efforts have primarily focused on the development of our secure products for the growing m-commerce market, most immediately, a secure mobile electronic smart wallet, the Wocket. The Wocket is a smart wallet, designed to protect your identity.”
The latest news from NXTD concerns the DreamTrips card, which was created exclusively for WorldVentures, a privately held leading direct seller of vacation and entertainment club memberships. The DreamTrips card is intended to make travel, vacationing and daily purchases for its membership simpler and more secure. As initially announced on January 4, 2016, the DreamTrips card is part of a broader alliance between the two companies.
Effective December 31, 2015, WorldVentures entered into a Master Product Development Agreement with the company. Among other things, the development agreement provides an initial term of two years. Pursuant to the Development Agreement, WorldVentures has retained the company to design, develop and manufacture a series of Proprietary Products for distribution through WorldVentures’ network of sales representatives, members, consumers, employees, contractors or affiliates. The Proprietary Products will utilize the company’s existing Background Technology and customized hardware designs/solutions and software tools/applications developed by the company for WorldVentures.
The DreamTrips card allows WorldVentures members to load up to 10 records (credit cards, loyalty cards, identity cards, and other data) and additional records may be stored on WorldVentures’ DreamTrips mobile app and interchanged with the records on the SmartCard at the election of a Member. It can be used a payment method in the same way as a credit card, where accepted. Members can then earn points at select restaurants worldwide that can be used towards DreamTrips vacations. An added bonus is that members can engage and interact socially with other DreamTrips Members worldwide through its communication features. WorldVentures Founder Wayne Nugent said:
“The strategic alliance with Nxt-ID supports WorldVentures’s mission to help its Independent Representatives and DreamTrips Members get more fun, freedom and fulfillment in their lives. In this high-tech, hyper-connected world, we are enabling people to use technology in a more powerful and compelling way. And our Independent Representatives will be able to bring this exciting new innovation to travelers all over the world, making their experiences richer, safer, and more engaging and rewarding.”
Currently trading with a market cap of $22 million, NXTD has been making major moves that will transform the company and turn the stock into a winner for investors. We like that CEO Gino Pereira is focused on deals and is building a solid foundation for the company. We expect some major developments from NXTD over the next few months. We will be updating Insider Financial as soon as we know more. For continuing coverage on NXTD, sign up for our free newsletter today and get our next hot stock pick!
Disclosure: We have no position in NXTD and have not been compensated for this article.