Props Project (or YouNow Inc.) is now the second Reg A+ token issuer to be qualified by the Securities and Exchange Commission (SEC). Yesterday it was announced that Blockstack became the first token offering to be blessed by the SEC. Today we have a second. The offering circular is available here.
According to the filing, the token offering may kick off within the next 2 days.
Props said approval was a landmark event for their community:
“Props Tokens can now reward contributing apps, users and validators with a financial stake in the network they’re helping to grow, and are now available for 47 million registered YouNow users. YouNow is the first app on the Props Network. App users who contribute value to the Props economy algorithmically earn Props Tokens that grant both in-app utility in the Props Network² and a direct financial stake in the network they help grow. This model, enabled by SEC qualification, empowers us to build a future where value accrues with the user.”
YouNow is the first app on the Props network.
YouNow users may earn tokens by contributing content, engaging and supporting creators. Props said their service provides a “fundamental shift in the way content creation platforms partner with and more fairly reward their communities.”
As part of the offering, Props Tokens may not be purchased by the offering. Users may only earn the tokens on the network.
Props has allocated 70 million Props Tokens for grants towards app development to speed up the network’s growth and advancement.
Importantly, Props said it will be working to list the token on a trading platform (ATS) but there are no detailed plans as of yet.
Under the Reg A+ exemption, issuers may offer digital assets to both accredited and non-accredited investors alike. Importantly, once an issuer has completed an offering they may choose to immediately trade the asset. The ability to trade immediately has made Reg A+ a strategic path for token issuers but until this week not a single digital asset offering had been qualified. Now we have two.
🔔 Milestone Alert 🔔 Props launches the first SEC-approved crypto token for consumers. Props Tokens can now reward contributing apps, users and validators with a financial stake in the network they’re helping to grow. Read more: https://t.co/8in5nrbXVH
— Props (@PropsProject) July 11, 2019
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