Vancouver, British Columbia, Canada, March 10, 2022 – Global Cannabis Applications Corp. ("GCAC" or the "Company") (CSE: APP, FSE: 2FA, OTCQB: FUAPF), a leading cannabis compliance platform, announced it has signed a software license agreement worth US$1,500,000 with EMTRI Corp. ("EMTRI"). The definitive agreement is a binding commitment for EMTRI to distribute GCAC’s Efixii software to Californian cultivators to track lifecycle data for a minimum of 10 million grams of cannabis in year 1. With a license fee of US$0.15 per tracked gram, this represents US$1.5m in GCAC revenues for March 2022.
EMTRI provides branding and retail marketing services to cannabis cultivators, and its network of distributors, in the epicentre of cannabis farming in California's Mendocino, Humboldt, and Trinity counties (aka the Emerald Triangle). More than 20,000 cultivators produce over 750 million grams of cannabis each year in the Emerald Triangle.
EMTRI also operates a blockchain token technology that issues Emtri Tokens (EMTs) to cultivators that supply Efixii data. Such cultivation transparency provides a competitive advantage over ‘regular’ cannabis for sale at California's regulated cannabis distribution centers. EMTRI’s Efixii-tracked cannabis, therefore, sells faster and at a premium. The cultivator and EMTRI capture this dollar premium. EMTRI uses some of its premium to buy back tokens from cultivators and decentralized finance (“DeFi”) traders, maintaining a liquid DeFi market for EMTs.
Says GCAC's CEO, Brad Moore, "We're delighted to be able to provide Californian cannabis consumers with the best and most transparent product in the market, all underpinned with Efixii's truthful grow-data. And, I’m equally delighted financially, since our current opex is running at around C$1.5m a year, this US$1.5m in revenue immediately puts us into profit for this financial year. So, I believe that this is shaping up to become a bumper year for us.”
EMTRI CEO Eric Kennedy stated, “Efixii combined with our EMT token is a game-changer for cannabis cultivators and distributors in California. For year-1, I believe that 10 million grams under management are the tip of the opportunity iceberg for Emerald Triangle weed. Once other cultivators see the value that Efixii disclosures bring, we believe that our reach will expand and our sales will grow. EMTs will be the next big token in the DeFi space.”
Efixii is licensed in a SaaS model and is a free-to-use app for cannabis consumers. Efixii’s cannabis data is the intellectual property (“IP”) of GCAC. This IP creates an inherent difficulty in replicating or competing with GCAC’s cannabis datasets. GCAC defined their protocols in a provisional U.S. patent application, 'System of Process and Tracking Cannabis Products and Associated Method Using Blockchain' filed with the USPTO on December 17, 2020.
EMTRI represents the best and gold standard of sun-grown and mixed-light cannabis cultivation. EMTRI provides its members with new-age communicational tools and actionable resources that empower, shape and maximize returns on their investments. They understand the unique position to farm and cultivate cannabis by building turnkey strategies, synergies, frameworks, and service roadmaps to increase value at every organizational level. To learn more about EMTRI, please visit https://theemtriagency.com/.
GCAC holds a Health Canada Medical Cannabis Sales license and is a global leader in designing, developing, SaaS licensing and acquiring innovative data technologies for the medical cannabis industry. The Citizen Green and Efixii platforms are the world's first end-to-end - from patient to regulator - medical cannabis sales and data solutions. They use six core technologies: mobile applications, artificial intelligence, RegTech, smart databases, Ethereum blockchain and GCAC smart rewards. These technologies transparently disclose cannabis chain-of-custody events, thereby enabling patients to provide crowd-sourced medical cannabis efficacy data. Driven by digital and cannabis industry experts, GCAC is focused on generating revenue from medical cannabis sales, SaaS licensing its technology, and acquiring high-quality cannabis datasets that improve patient outcomes and become the world's largest cannabis efficacy data provider.
For more Company information, please visit www.cannappscorp.com, or review its profiles on www.sedar.com and the Canadian Securities Exchange's website www.thecse.com.
This news release may include forward-looking information within the meaning of Canadian securities legislation concerning the business of GCAC. Forward-looking information is based on certain key expectations and assumptions made by the management of GCAC. Although management of the Company believes that the expectations and assumptions on which such forward-looking information is based are reasonable, undue reliance should not be placed on the forward-looking information because GCAC can give no assurance that they will prove to be correct. Forward-looking statements contained in this news release are made as of the date of this news release. GCAC disclaims any intent or obligation to update publicly any forward-looking information, whether as a result of new information, future events or results or otherwise, other than as required by applicable securities laws.