YouNow Becomes First SEC Approved Utility Token Issuers Under Reg A+
[ChainDD report] July 12 (ChainDD) Live broadcasting service startup YouNow announced on July 11 that the US Securities and Exchange Commission (SEC) has granted its qualification so that it is qualifying the primary distribution of up to 133,000,000 Ethereum-based crypto token Props Token, and its subsidiary qualifying the second distribution of up to 45,000,000 Props Token, with the price to public at $0.1369.
The Props Token offered in primary distribution will used to reward users for YouNow’s in-app activities, including contributing content and attention to those apps; as one-time discretionary grants to users of the Props Live Video App; or to reward administration of its own blockchain. Those tokens offered in secondary distribution will grant to persons developing key apps or otherwise contributing to network development efforts.
ChainDD noted YouNow becomes one of the first utility token issuer under Regulation A+ (Reg A+). Earlier this week, SEC has approved Blockstack’s token distribution following Reg A+, with $28 million fundraising target.
Reg A+ aims to help startups at early stage gain external financial support. As an alternative of initial public offering (IPO), Reg A+ allows businesses exempt from requirements of IPO.