It was a tough day in the markets for investors in Cosmos Group Holdings Inc (OTCMKTS:COSG) as the company’s stock suffered from a massive selloff and ended the day with a decline of as much as 32% as a consequence.
On Tuesday, COSG stock moved down 33.25% to $0.0267 with more than 2.90 million shares, compared to volume of 351.43K shares. The stock moved within a range of $0.0267 – 0.0600 after opening trade at $0.0400.
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Considering the magnitude of the decline, it could well be a good time for investors to figure out if the decline is going to continue or if there is going to be any kind of rebound. The company came into focus among investors yesterday after it announced that it had gone into a settlement agreement with Lee Ying Chiu, Herbert. The agreement in question went into effect on December 15, 2022.
As per the terms of the agreement, the two parties reached an agreement to settle the issue with regards to as many as 800000000 shares of the Cosmos Group common stock that had been due to Lee Ying Chiu, Herbert.
That had been agreed in a previously signed stock exchange agreement between the two parties back on June 17, 2021 with regards to the acquisition of Massive Treasure Limited. It may be a good move for investors to perhaps keep an eye on the stock this morning and watch for a recovery.
Commenting on the settlement agreement, Dr. Chan Man Chung, Chief Executive Officer of Cosmos Group Holdings Inc. said, “We are delighted at the outcome of this settlement and we believe that the COSG Group will be in a much better position as a result of this. If you take a look at our last quarter financial report, with more than US$8 million DOT sales within the first 9 months of 2022, the DOT business was actually growing very strongly. However, our management team also reviewed the overall financial position of the COSG Group and felt the technology and business development costs that we have and will need to continue to put into the DOT business will continue to be high, which will continue to affect the profitability of the company. In addition, the overall Crypto Winter gave us an opportunity to reassess our overall business model and market situation, and we believe that this settlement and changes will ensure that COSG keeps adding value to shareholders.”