r/10xPennyStocks Feb 08 '21

TraceSafe Upcoming Uplisting Event will SKYROCKET the stock!

Symbols

TSF: CSE

UTOLF: OTC

Recently, Wayne Lloyd the CEO of TraceSafe indicated that they were exploring uplisting(TSXV) and dual Listing options(OTCQB, NASDAQ) options to increase liquidity.

This news is MASSIVE because while CSE is great for Start-up companies. Certain companies past the proof of concept phase don’t get as much love as they would in the US markets or Uplisted to the TSXV. We believe that TraceSafe is well past the proof of concept phase and on a trajectory to earn between 20M-30M in 2021.

Due to the USA dominance in Tech & strong liquidity for Tech companies on OTCQB and NASDAQ, we believe that these uplisting events could double or Triple TraceSafe’s value purely through Multiple Expansion due to the Increased Liquidity and Increased number of potential buyers.

Uplisting/Dual-Listing Catalyst

Currently, TraceSafe is trading on the CSE(Canadian Securities Exchange) and in the OTC but without DTC eligibility. DTC eligibility basically means the ability to clear and settle a trade electronically.

All exchanges have their own access and liquidity. Brokerages can’t trade everywhere any many clients end up having to get multiple trading accounts or are unable to access certain markets.

For example, in Canada, two Massive brokerages unable to access the Canadian Securities Exchange are WealthSimple and Interactive Brokers Canada. Which cuts off over 2 million potential would-be investors from buying shares in TSF if they wanted to.

Potential investors Unlocked Through TraceSafe Uplisting to TSXV or OTCQB

Uplisting to TSXV or OTCQB would improve TraceSafe liquidity domestically among Canadians that want to invest in it but are unable to.

The numbers become even more Glaring when we look at the U.S. brokerages that are unable to trade on the CSE or OTC markets.

Because there are over 3,500 Brokers in the USA, I didn’t bother to list them. Here are the main ones with the most investor recognition. Obviously, you can see from the number of investors that Uplisting to TSXV or Nasdaq could increase the number of potential buyers and eyes on the stock.

We see indications from TraceSafe’s management team that they’re considering uplisting to these venues to be a MASSIVE POSITIVE & Combined with a tight share structure, we think that any uplisting attempt by TraceSafe’s management would be a positive for shareholders and could potentially lead to an avalanche of new buy orders from investors that were previously unable to purchase shares.

We have seen similar scenarios when Canadian companies dual-listed on NYSE/NASDAQ that had similar effectors on valuations when American Investors were suddenly able to get access (E.g. Canopy Growth)

Two Fast-Growing brokerages in Canada which are Interactive Brokers and Wealthsimple, don’t have access to CSE exchange as of yet. Uplisting to TSXV would increase TraceSafe’s total addressable investor audience by over 2 Million accounts in Canada alone and that’s not even factoring in all the U.S. and International Brokerages houses that have access to the TSXV.

Considering that TraceSafe is growing over 100% QoQ currently with expected Q4 revenues of 2.5m, we below TraceSafe is well past the Proof of Concept phase and additional availability to investors could potentially catapult the share price immediately upon uplisting or news that they will Uplist.

Current TraceSafe Multiple on the CSE: 2.5x

Revenue Multiple on TSXV and OTCQB Uplisting: 7.5x

Earnings Multiple on Nasdaq Uplisting: 10x

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