In terms of, the former question with respect to NFTs. So as we all know, the industry is in a deep state of crypto winter, FTX had, their announcement last week, and so on and so forth. I want to be very, very clear. Zedge is not in any way, shape or form, at risk. We are not a crypto provider, we have always taken a philosophy that there’s this technology that provides for provenance, allows for limited edition capabilities, allows for true ownership of content. And we’ve not jumped on the hype train that existed during the crypto bubble, if you will. Having said that, we have seen a decline in NFT sales, recalling that our average price for NFT is not thousands of dollars and not hundreds of dollars, but typically double digit dollar price levels, it is something where our long term belief is this is technology, it’s technology, which is benefits creators, it’s technology which is of benefit to end users.
And for it to scale and really to become commonplace, the need for an easy to use seamless solution is what it’s all about. And that’s how we have crafted NFTs Made eEasy. From an artist’s perspective, an artist goes into the portal, they don’t need to own a crypto wallet, they don’t need to know anything about technology or how NFTs work. They simply toggle a switch and then they say that they want that particular piece of content to be minted as an NFT. They pick a price point, and they’re done. And from an end user perspective, the end user uses fiat currency to make an in app purchase, buys some of our virtual Zedge tokens, those are not crypto tokens, they’re just virtual currency that’s used in our app and then they use those tokens in order to buy the non-fungible token, which is a video wallpaper or wallpaper, and soon to be other content types accordingly.
So chances are that we are not growing as fast as we would like to just because of the fact that NFTs has gotten a bad name in the marketplace because of crypto winter. However, we’re in this for the long haul. And the notion of being able to offer some of this functionality is something which is beneficial to this creator economy that we are a member of. And we will continue to offer that to our artists and ultimately to our consumers, so that they can have proof of ownership and take advantage of the content that is being offered in a tokenized fashion.
Allen Klee: My last question, just in terms of your outlook. Just is there anything that you can provide of? It seems like the way to think about it is you’re going to be reinvesting a lot of your revenues into some of the growth initiatives for your new businesses, so modest profitability in the next year. Is that the way to think about it or?
Jonathan Reich: So I’d say as follows. Our goal is to see to it that we continue to run the company profitably on a consolidated basis. Profitability gives you runway, gives you optionality and so on and so forth. We are going to be in reinvesting profits to grow the assets that we have, in our portfolio. Obviously, we acquired GuruShots with an knowledge that they are not yet profitable. However, we also believe that GuruShots has great potential on a standalone basis, as well as through some of the synergies that it can bring to the table. And as I said earlier, we’re here for the long haul. We are building a business, we’re building a business that has two business units in it, and two business units which individually have great value, but also open up the door for a halo effect in terms of the synergies that we see available to us.
