The blockchain company Prometheum, Inc., announced on Tuesday that it has entered into a partnership with registered broker-dealer Manorhaven Capital LLC.
This strategic cooperation will accelerate Prometheum’s plan to offer completely regulatory-compliant Initial Coin Offering (ICO) trading platform and allow it to fully implement Regulation A+ distributions for issuers.
Reg. A+ under Title IV of the JOBS Act is a type of offering which allows private US companies to raise up to $50 Million from the public. Before it was signed into law in 2015, private companies could only crowdfund from accredited investors, as status limited to the wealthiest two percent of Americans.
On Tuesday, Prometheum also filed with the US Securities and Exchange Commission (SEC) for registration as an Alternative Trading System (ATS). An ATS is a marketplace that matches buyers and sellers. Although they aren’t traditional exchanges, according to the SEC website, an ATS must register with the government organization and comply with federal securities laws. Once approved, Prometheum’s ATS will allow the company to enable secondary trading of cryptographic securities.
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Commenting on the partnership, Aaron Kaplan, Co-founder and COO of Prometheum said: “entering into a strategic partnership with a registered broker-dealer and forming our own ATS are core elements of creating a legal ICO trading platform. We’re excited to work with the Manorhaven Capital team to help clients conduct their own legal ICOs.”
Zachary Marans, President and CEO of Manorhaven Capital also added: “Manorhaven Capital is thrilled to be partnering with the best-in-class team at Prometheum to offer a fully regulatory compliant platform for ICOs and secondary trading.”
Manorhaven Capital LLC is a registered broker-dealer, offering services in investment banking, financial advisory, and securities. It is a well-recognized firm and is active in financial and capital formation for both the public and private capital markets.
Founded by a group of Wall Street securities attorneys, Prometheum is the first company to propose an SEC-qualified free trading ecosystem for ICOs of securitized tokens.
In May, Prometheum filed a Reg. A+ Offering Statement for its own ICO. By selling warrants for its Ember tokens the company plans to raise USD 50 million. The company is ambitious in its plans and it anticipates it will be the first US issuer to sell ICO warrants/tokens under Reg. A+ that will be fully compliant with the Federal Securities Laws.