The crowdfunding giant Indiegogo Inc. announced Thursday that today would be the first day on which accredited investors could buy shares in a luxurious Colorado St. Regis Aspen Resort hotel with tokens sold on the blockchain.
To create these tokens, the resort will create Aspen Coins through the supply of symbolic resources from Aspen Digital Inc .. For investment purposes, cryptocurrency coins are treated as a "security token", which they replace paper-based certificates of equity in property as investments in accordance with United States Rule D, Rule 506 (c). According to this regulation, only accredited investors can participate in this sale.
"Security token offerings are the investment tool of the future, a mechanism designed to store wealth using digital assets that generate income," Stephane de Baets, founder and president of Elevated Returns, said in a statement. High returns purchased in the St. Regis Aspen Resort in 2010.
"By opening the access to investment in traditional assets like real estate, we are creating a new opportunity for investors to explore a share of property in something previously accessible only to private investors and at the highest levels people of net worth, "said De Baets. "Indiegogo is a well-known and trusted name in alternative finance and cryptocurrency, which makes them an incredible partner to leverage their influence, experience and global audience."
Tokens will be offered directly through Templum Markets LLC, Securities and Exchange-dealer brokers registered by the Commission and a member of the Financial Regulatory Authority.
Although this is considered an initial money supply, similar to the crowdfunding sales held by startup blockchains seeking funding to kick off their business, the tokens themselves do not represent a utility that can be used in exchange for goods or services. Instead, they are private securities designed only for investors.
Templum defines this crowdfunding incursion as an "offer of tokenised goods" or TAO. The selling price of tokens is $ 1 each with a minimum investment of $ 10,000. The total size of the offer is $ 18 million and will close on September 14th. Investors will be able to buy Aspen coins with US dollars, bitcoins or Ether (the token Ethereum).
These tokens can be held in any ERC20 compliant Ethereum portfolios, which means that most of Ethereum's portfolios can hold them. Therefore, tokens can also be exchanged with other users of Ethereum and other cryptocurrencies on open exchanges that support such transactions.
As a security token in the property, Aspen Coins does not provide utility to the holders except as an investment tool. This means that owning a currency does not translate into benefits or property. The investment mechanism is simply the fact that the tokens are themselves supported by a tangible asset, the real estate of the luxury hotel
Located in the Rocky Mountains, St. Regis Aspen Resort is truly a luxury establishment. The hotel has 179 rooms, including 25 luxury suites, a 15,000-square-foot luxury spa and 14 large fully-equipped meeting spaces. As a resort, St. Regis also offers access to the ski slopes, which the brochure claims offers one of the longest ski seasons in the world.
The role of Indiegogo in the TAO will be limited to promotional work and marketing, although the company is well known for its part in general crowdfunding. Sales and exchange of assets will be managed by Templum for the Aspen Digital tokens mentioned above, and investors will work entirely with it.
As a company, Indiegogo is no stranger to cryptocurrency and ICOs. His first dive into the waters of the cryptocurrency occurred in December with a football league controlled by ICO fans. However, the company quickly closed it early in July after receiving $ 5.2 million token sales. The Indiegogo brokerage partner in that company, MicroVentures Inc., announced that buyers would receive reimbursements and no tokens would be issued.
With this new attempt to penetrate the cryptocurrency industry, Indiegogo is trying to link digital tokens with physical resources as a way to differentiate themselves from other ICOs on the market.
"Having a clear resource like the St. Regis Aspen is the beginning of a change in the way people think about tokenization and investments in blockchain and crypto" said Slava Rubin, co-founder and chief business officer of Indiegogo.
More information on the sale and St. Regis Aspen Resort property is available on the Indiegogo campaign website and the Templum Investor Registration page.
Image: Aspen Digital
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