Not an ICO, but the first SEC-qualified token offering – by Blockstack

Blockstack is a decentralized computing network based in the US, which has filed with the SEC a $50 million token sale under the SEC Regulation A+ framework.

Unlike many other blockchain and cryptocurrency companies that usually turn to ICOs to gather funds for their business growth, Blockstack is turning to the US financial regulator for that. Blockstack has reportedly worked with securities lawyers that have advised them on how to create a SEC-qualified token offering. If such sale occurs, it will be the first of its kind on the global market.

What Blockstack does is as described by the company:

Blockstack’s decentralized computing network, created by computer scientists from Princeton University, enables engineers to build secure, privacy-focused applications: users are in control of their data instead of storing it with large tech companies.

Blockstack was developed in 2017. A subsidiary of the company called Blockstack Token LLC will be responsible for the sale of 295 million Stacks (STX) tokens.

Apart from the innovative way in which the company is trying to raise funds, the other very interesting part is that Blockstack’s investors include the world’s largest investment fund, the Harvard Management Company, with AUM of $37 billion, Foundation Capital and Lux Capital. The purchase of these three companies in Stacks tokens is around $5 – $11 million.

This is truly groundbreaking not only for the new potential way of raising funds, but also speaks volumes for the comfort that the academic world feels now towards holding tokens in its portfolio.

Blockstack has already filed with the SEC for the potential realization of the project.

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