- Today is Vinco Ventures (NASDAQ:BBIG) stock’s record date for Cryptyde
- The distribution date is expected to fall on or before May 27
- Cryptyde will trade under the ticker TYDE
Shares of Vinco Ventures are trading more than 10% higher currently, as today marks the record date for Cryptyde. Vinco has plans to spin off Cryptyde as a separate entity with separate management teams. Once the spinoff is complete, Cryptyde will focus on cryptocurrency and non-fungible token (NFT) opportunities, such as creating digital coins in consumer-facing industries.
Meanwhile, trading volume for BBIG stock is taking off. The company carries an average daily trading volume of 23 million shares. At the time of writing, BBIG’s volume is more than 40 million shares traded. Coupled with an increase in price, this high volume implies that investors are seeking to load up on BBIG stock to take advantage of the Cryptyde distribution.
Let’s get into the details.
BBIG Stock: Today Is the Cryptyde Record Date
As of today’s market close, each Vinco shareholder will be eligible receive one share of Cryptyde common stock for every 1o shares of BBIG stock owned. Shareholders are not required to do anything to receive the distribution. Further, Vinco has disclosed that it has already applied to list TYDE stock with the Nasdaq.
To be clear, the record date signifies the date by which shareholders must own BBIG to receive the distribution, not the date that shareholders will actually receive the distribution. Vinco Ventures expects the distribution date to fall on or before May 27.
Vinco has also acknowledged that the price of BBIG stock is expected to fall after the distribution completes. This is because the stock price will no longer reflect the potential of the Cryptyde business.
What’s Next for Cryptyde?
Like Vinco, Cryptyde will focus on consumer-facing ventures. Once the distribution is complete, Cryptyde will have $3 million of cash from BBIG and around $42 million of cash from private placements. The company will also carry $33.33 million in debt over from notes issued in the private placement.
By the end of 2022, Cryptyde plans on finalizing a digital coin minting platform. As of now, the Cryptyde website is still under construction. However, investors should keep an eye out for the May 27 distribution date. It’s sure to create volatile price action.
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On the date of publication, Eddie Pan did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.