technology

Short-Sellers Pounce Ahead of KodakCoin’s ICO

  • Imaging company to launch digital token for blockchain use
  • Negative stock bets quadrupled to over 30% in the past month
Kodak Joins Cryptocurrency Craze With New Cyber Coin

The skeptics loaded up on negative bets against Eastman Kodak Co. when the once-dominant photography company filed for bankruptcy in 2012. Now they’re back with a vengeance as its successor prepares to move into the cryptocurrency world.

About one-third of Kodak’s shares are traded as short positions, according to financial analytics firm S3 Partners. That compares with less than 8 percent on Jan. 8, the day before the Rochester, New York-based company said it would offer a digital token called KodakCoin and use blockchain technology to help photographers protect the rights to their work.

The company’s initial coin offering, which is set to begin at 6 p.m. New York time, has a $20 million fundraising goal. Kodak shares fell 4.4 percent to $9.18 as of 1:44 p.m. That’s still more than three times higher than before the ICO announcement.

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