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U.S. Global Investors Announces Strategic Investment in NFT Business via Network Entertainment

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U.S. Global Investors (GROW) has acquired 1 million shares of Network Entertainment to enhance its position in the burgeoning NFT market. This investment aims to leverage Network's intellectual property, which includes popular documentaries, for NFT creation and distribution. U.S. Global emphasizes the growth potential in NFTs, which saw sales reach $10.7 billion in Q3 2021, significantly up from $28 million the previous year. The firm is optimistic about future demand for NFTs and their connection to Ether, the cryptocurrency utilized in most NFT transactions.

Positive
  • Acquisition of 1 million shares of Network Entertainment enhances GROW's portfolio in the NFT space.
  • NFT market showed significant growth, with Q3 2021 sales reaching $10.7 billion.
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San Antonio, TX, Oct. 27, 2021 (GLOBE NEWSWIRE) -- U.S. Global Investors, Inc. (Nasdaq: GROW) (the “Company”), a registered investment advisory firm that focuses on specialized markets around the world, is pleased to announce that it has purchased 1 million shares of Network Entertainment, Inc. (“Network”) in its recent financing. The investment is intended to provide exposure to Network’s emerging non-fungible token (NFT) business, adding to the Company’s established participation in the digital asset ecosystem.

Trading as Network Media Group, Inc. (TSX.V: NTE.V) (OTCMKTS: NETWF), Network Entertainment is an award-winning media production company that has produced dozens of feature documentaries, documentary series and related premium content. Among Network's most popular programming includes its highly-rated “I Am” slate of feature documentaries for Paramount, which have spotlighted some of the biggest names in entertainment, sports and activism from the 20th century, including Bruce Lee, Chris Farley, Patrick Swayze, Richard Pryor and JFK Jr.

Capitalizing on its global reputation as creators and producers of premium content, Network has recently announced that it intends to create and distribute NFTs using existing and upcoming content.

Readers are urged to click here to visit Network’s website to explore its rich content.

GROW Getting Early Exposure to the NFT Craze

The Company sees great potential in what Network has planned for its intellectual property, and it is keen to explore the nascent NFT space as a complement to its investment in HIVE Blockchain Technologies, Inc. (Nasdaq: HIVE), which has also invested in Network. The Company owns unsecured convertible HIVE debentures as well as common share purchase warrants.

“We’re backing a strong team at Network Entertainment,” says Frank Holmes, Company CEO and chief investment officer, as well as Executive Chairman of HIVE. “I’ve known Network Board Member Tim Gamble for years, who’s a true visionary, having co-founded and been a former CEO of Thunderbird Entertainment Group, Inc. (TSX.V: TBRD). Network has such a rich portfolio of intellectual property, and I’m excited to see how it can be monetized using NFTs. Most NFTs operate on the Ethereum network, as does its native digital currency Ether, which HIVE mines, along with Bitcoin, using only 100% green renewable energy. As NFTs increase in demand, so too should the demand for Ether. HIVE, therefore, is well positioned to benefit from the increased need for Ether, making this investment a potential win-win for GROW as well as HIVE.”

NFTs Generated a Record $10.7 Billion in Sales in the Third Quarter

NFTs are unique, non-interchangeable crypto assets that provide proof of ownership of a digital item such as an image, song, meme, tweet or video clip. Ownership is recorded on a publicly open blockchain platform, often the Ethereum network, allowing owners to buy and sell NFTs on specialized marketplaces in place of the property they represent.

Like cryptos in general, NFTs are a booming new market, having seen $10.7 billion in trading in the third quarter of 2021, up from just $28 million a year earlier. Many celebrities and content creators, including Snoop Dogg, Paris Hilton, Tony Hawk and Martha Stewart, have participated in the space. Coinbase, one of the world’s largest crypto exchanges, recently announced plans to launch Coinbase NFT, a “peer-to-peer marketplace that will make minting, purchasing, showcasing and discovering NFTs easier than ever,” according to the company’s website. Within 24 hours of its October 12, 2021, announcement, Coinbase NFT had acquired more than 1 million names to its waitlist.

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About U.S. Global Investors, Inc.

The story of U.S. Global Investors goes back more than 50 years when it began as an investment club. Today, U.S. Global Investors, Inc. is a registered investment adviser that focuses on niche markets around the world. Headquartered in San Antonio, Texas, the Company provides money management and other services to U.S. Global Investors Funds and U.S. Global ETFs.

Frank Holmes has been appointed non-executive chairman of the Board of Directors of HIVE Blockchain Technologies. Both Mr. Holmes and U.S. Global Investors own shares of HIVE. Effective 8/31/2018, Frank Holmes serves as the interim executive chairman of HIVE.

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FAQ

What recent investment did U.S. Global Investors (GROW) make?

U.S. Global Investors purchased 1 million shares of Network Entertainment to expand its presence in the NFT market.

How much did NFT sales reach in Q3 2021?

NFT sales reached $10.7 billion in the third quarter of 2021.

What potential does U.S. Global Investors see in Network Entertainment's NFT plans?

U.S. Global Investors believes there is great potential in monetizing Network's intellectual property through NFTs.

Which cryptocurrency is primarily associated with NFTs?

Most NFTs operate on the Ethereum network, which uses its native digital currency, Ether.

How does U.S. Global Investors' investment relate to HIVE Blockchain?

U.S. Global Investors' investment in Network aligns with its existing investment in HIVE Blockchain Technologies, enhancing exposure to the NFT market.

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