In Apparent First, SEC-Approved Security Token Offering Seeks Listing on Coinbase

In Apparent First, SEC-Approved Security Token Offering Seeks Listing on Coinbase

Singaporean blockchain project BitcoinHD claims to have submitted the first SEC-approved security token offering for prospective listing on major U.S. exchange Coinbase.

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Shortly after sealing an approval from the United States Securities and Exchange Commission for its security token offering, Singaporean blockchain project BitcoinHD (BHD) is seeking a listing on major exchange Coinbase.

On March 30, the SEC had approved BHD’s blockchain-based STO under what is known as a Form D exemption. 

Form D is a short registration form in which a company discloses essential information for prospective investors in its securities issuance. The form is notably much shorter than the lengthy reports that are required for the sales of a non-exempt security to U.S. investors. Approved projects can only sell their security to accredited investors.

These are defined in the U.S. as individuals with a net worth of over $1 million, or who consistently make $200,000+ per year in income, or as enterprises with over $5 million in assets. 

In its announcement on May 11, BHD purported to be the first approved STO to seek a listing on Coinbase.

What is BHD’s offering?

BHD is looking to issue exempt securities in its blockchain-based cryptocurrency, BHD, which uses a CPoC — or Conditional Proof of Capacity — consensus and mining mechanism. 

Consensus mechanism algorithms within the Proof of Capacity framework enable nodes in the blockchain network to use available hard drive space for their mining rights, rather than their device’s computing power.

BHD argues that using a hard disk as a consensus participant lowers energy consumption and therefore reduces the entry barriers to network members, potentially resulting in greater levels of decentralization. 

It also claims that the CPoC consensus mechanism is ASIC-resistant — i.e. it does not confer advantages on mining hardware that uses Application-Specific Integrated Circuit chips, which are tailored to efficiently mine cryptocurrency based on a specific hashing algorithm. 

As BHD notes, Coinbase evaluates whether or not to list new crypto assets according to the terms of its Digital Asset Framework, which spans extensive criteria such as security and code, compliance requirements, team review, scalability, market demand and governance.

While it enjoys a strong reputation as one of the most prominent actors in the centralized crypto exchange space, Coinbase and the professional trading platform, Coinbase Pro, both crashed recently amid a hectic pump day for Bitcoin (BTC) in late April.


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Singaporean blockchain project BitcoinHD claims to have submitted the first SEC-approved security token offering for prospective listing on major U.S. exchange Coinbase.

Props Announces First SEC-Approved Consumer-Facing Blockchain Token

Props Announces First SEC-Approved Consumer-Facing Blockchain Token

Props says its consumer-facing token is the first of its kind to be approved by the U.S. SEC under Regulation A+

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Delaware-based blockchain organization Props PBC has released a token approved by the U.S. Securities and Exchange Commission under Regulation A+, according to a press release on June 11.

According to the company, this is “the first consumer facing crypto token qualified by the SEC” via Reg A+. As previously reported, Reg A+ is an alternative to conducting an IPO that is intended to accommodate startup businesses seeking initial funding.

This token has been issued on the Ethereum blockchain. According to the announcement, the Props platform is capable of abstracting a blockchain infrastructure for applications, providing a plug-and-play solution for apps to integrate Props tokens.

Props is reportedly is a rewards token that can be used within apps to bolster user engagement, such as within the streaming platforms YouNow and XSplit — a gaming-focused streaming service.

As previously reported by Cointelegraph, Ubisoft’s Entrepreneurs Lab has also been researching the use of blockchain-based incentive tokens and activities to boost user engagement. The company has been researching Smart Challenge, Azure’s gaming rewards platform, and has tentatively found — via pilot tests — that it boosts streamer viewership and gameplay numbers for the game being streamed.

The Props token is also supposed to provide a new financial vehicle for content creators to secure a steady stream of income. Prominent YouTube content creator and Props investor Casey Neistat said:

“Online video content made by independent creators has become massively popular, but still lacks diverse ways for creators to turn their content to a meaningful source of ongoing income.”

On July 10 Blockstack announced that it was the first organization to receive the SEC’s blessing to run a public token offering via Regulation A+.  Blockstack founders Muneeb Ali and Ryan Shea said it took $2 million and 10 months in order for them to secure the SEC’s go-ahead.


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Props says its consumer-facing token is the first of its kind to be approved by the U.S. SEC under Regulation A+