Blockchain Platform Neufund To Conduct Equity Token Offering For Parent Company Fifth Forcebr>
Berlin-based blockchain equity fundraising platform Neufund has announced that it will be conducting an Equity Token Offering for its parent company Fifth Force GmbH.
Neufund’s platform allows both well-established and new companies to get funding by issuing blockchain-based equity tokens. These tokens are issued as a result of an investment process that, in many ways, is similar to the process that a startup goes through when funded classically. In particular, a company must prove to investors that its shares/tokens have value. So far, the company has onboarded over 3,000 investors from 91 countries and announced seven companies to conduct ETOs in the coming months.
Fifth Force GmbH will be the first company to use the Neufund blockchain platform. Fifth Force’s ETO will start on November 27 with a whitelist subscription period, and end on December 15 after seven days of public sale. All investors registered on Neufund can use both ETH and EUR.
Neufund said that its top priority has always been to give everyone access to the same investment opportunities, whether they want to invest €500 ($571 USD) or €100,000 ($11,400 USD). However, due to an unexpected request for a technological audit from the German Federal Financial Supervisory Authority (BaFin), it has raised the minimum ticket size for Fifth Force’s ETO to €100,000. In 2019, Fifth Force plans to conduct a second phase of the ETO, which will offer similar investment conditions, with a minimum ticket size of €500.
Neufund co-founder and CEO Zoe Adamovicz said that Fifth Force’s ETO will serve as a test drive for Neufund’s set of protocols.
“More than a year ago we made a promise to conduct the first ever legally binding offering of tokenized equity on blockchain in 2018 and we remain true to that plan,” said Neufund co-founder and CEO Zoe Adamovicz. “The first ETO will be the ultimate showcase of our product.”