Hollywood Producer Secures $100M USD Funding For Security Token Proxicoinbr>
Proxima Media has secured $100 million for a new ethereum-based security token that allows fractionalized ownership in film, television, music and other IP-driven content. Backers include VC firms Step Ventures and the Central Wealth Investment Fund of Hong Kong.
Proxima Media, founded by Hollywood producer Ryan Kavanaugh, created a security token, called Proxicoin, that utilizes blockchain technology to provide previously untapped investors with the ability to participate in tokenized offerings for film and television financing. According to the firm, the security toke is fully audited and has already signed a deal with the Fusang Exchange. Proxicoin is expected to be among the first security tokens to be listed and traded in Fusang.
“Proxicoin and this transaction eliminate many of the hurdles that have held back growth between the two countries due to heavy restrictions in currency conversion,” Kavanaugh said. “Proxicoin removes those friction points while creating total transparenc. We have put together a stellar team to implement what we believe will be a serious paradigm shift in the financing and marketing of films. We have top bankers with a deep understanding of the capital markets, content creators, operators and brand experts. Having Central Wealth Investment Fund and Step VC as partners is a great validation for us that we are on the right track. There couldn’t be better lead investors and partners.”
Proxima is also planning to create a trading platform, called Entertainment Stock X (ESX), that will operate similar to a stock exchange where films, television, music and other IP will undertake an IPO and publicly traded. Proxicoin holders will also be partial owners of ESX, which currently has deals for listings on over 30 major feature film projects and is expected to have a significant share of the 600 major films and television shows shot annually. ESX is expected to launch by the end of 2019.
“This is a game-changing moment for the entertainment industry,” said Vincent Tse, CEO of Step Ventures. “Proxicoin makes a highly sought-after financial product available to many individual and smaller investors. Film, as an asset class, is traditionally uncorrelated to capital markets and has been a competitive and sought-after asset class among the large hedge funds and banks including Citibank, Duetsche Bank, JP Morgan, Goldman Sachs and many others. During the Great Depression one of the only stocks that went up was MGM.”