ZK International to launch xSigma crypto wallet with Visa card

WENZHOU, China - ZK International Group Co., Ltd. (NASDAQ:ZKIN), a small-cap company with a market value of $14.06 million, announced that its subsidiary, xSigma Corp., is set to introduce the xSigma Wallet, a new cryptocurrency banking wallet. This digital wallet will allow users to purchase memecoins and cryptocurrencies directly with Visa/Mastercard credit cards, Apple (NASDAQ:AAPL) Pay, PayPal (NASDAQ:PYPL), and Google (NASDAQ:GOOGL) Pay. According to InvestingPro data, the company currently generates annual revenue of $108.2 million but faces significant operational challenges.

The xSigma Wallet is designed to offer a secure and regulated platform for users in over 170 countries, aligning with U.S. compliance standards. A key feature of the wallet is the inclusion of an xSigma-branded Visa (NYSE:V) credit card, which will enable users to top up their balance using crypto assets, thus enhancing the flexibility for digital asset spending. This development comes as the company’s stock has experienced significant volatility, with a -41.15% return over the past week.

In response to the significant market interest in memecoins, as evidenced by the trading volumes of Trump’s memecoin and Moonshot, xSigma Wallet aims to provide a compliant and user-friendly on-ramping solution. The platform will offer non-custodial storage for memecoins and major cryptocurrencies, alongside simple fiat-to-crypto conversion services.

Mr. Huang Jiancong, Chairman of ZK International, stated, "The launch of xSigma Wallet is a major step forward in providing users with a secure, regulated, and user-friendly way to engage with cryptocurrencies and memecoins."

xSigma Corp., a blockchain R&D lab, is focusing on decentralized finance (DeFi) and blockchain-based payment innovations. Its parent company, ZK International, specializes in engineering high-performance stainless steel and carbon steel pipe products, with a strong presence in the Chinese, Asian, and European markets.

The company plans to reveal further details about the xSigma Wallet’s launch dates and platform availability in the months ahead. This development is part of xSigma Corp.’s ongoing strategy to maintain its relevance in blockchain innovation and digital infrastructure.

This news article is based on a press release statement from ZK International Group Co., Ltd. InvestingPro analysis reveals concerning metrics about the company’s financial health, including weak gross profit margins of 6.05% and significant cash burn rate. Subscribers to InvestingPro have access to 16 additional key insights about ZKIN’s financial position and future prospects.

In other recent news, ZK International Group Co., Ltd. has seen significant developments in its financial performance and operations. The company reported a notable 405% increase in gross profits for the fiscal year ending September 30, 2024, despite a slight 3.05% decline in revenue. Operational loss decreased by 97.16% to $1.72 million, down from $60.44 million the previous year.

ZK International also announced a 1-for-7 reverse stock split, converting every seven issued and outstanding ordinary shares into one. Furthermore, the company has integrated cryptocurrency payments into its operations, aiming to enhance transaction efficiency.

In addition to these financial developments, ZK International secured a $4.47 million contract for the Shenzhen Municipal Infrastructural Gas Pipeline Procurement Project. Looking forward, the company anticipates a gross profit margin in the range of 10% to 12% for the fiscal year 2025.

The company also regained compliance with Nasdaq’s periodic filing requirements and has been granted an extension to meet the minimum bid price condition. These are the latest developments in the operations of ZK International.

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