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.
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.
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.