NEW YORK, Dec. 19, 2018 (GLOBE NEWSWIRE) -- Prometheum, Inc., which proposes the only comprehensive route to a fully regulatory compliant U.S. security token, announced today that it has raised $12mm from HashKey Digital Asset Group Limited. The investment, in the form of cash and services, will enable Prometheum to accelerate the launch of its network.
Prometheum also announced that it has signed a Strategic Partnership and Joint Development Agreement with Wanxiang Blockchain Labs, an early backer of Ethereum. Wanxiang and HashKey are partners and allies who often collaborate to invest in and accelerate blockchain startups. Shanghai Wanxiang Blockchain Inc., known as Wanxiang Blockchain, was established by China’s biggest blockchain backer -- China Wanxiang Holding Co., Ltd. -- part of the giant Wanxiang Group Corp., one of China’s most internationally respected companies. Wanxiang’s domestic innovation initiatives include a $30 billion, blockchain-driven, smart-city development in Hangzhou, China. Its Chicago-based arm, Wanxiang America, which was started in 1994 with only a $20,000 investment, has grown into a $4 billion company with interests in auto parts, real estate and renewable energy.
Per the terms of the partnership agreement, Wanxiang will provide Prometheum with blockchain technology resources and help develop the Prometheum network. In addition, Dr. Feng Xiao - Chairman of HashKey, Vice Chairman and Executive Director of China Wanxiang Holding Co., Ltd., and Chairman and CEO of Wanxiang Blockchain Inc. - will join Prometheum’s board. Dr. Xiao was the earliest evangelist and promoter of blockchain technology in China. An early sponsor of Ethereum, he has incubated and invested in more than 50 leading blockchain projects around the world.
Prometheum, founded by a group of seasoned Wall Street securities attorneys, has developed a platform that will enable SEC-qualified, freely trading smart security tokens (SSTs) to be bought and sold by any investor. The company has already marked a first in the industry by filing a Reg A+ Offering Statement for the first legal warrants for SSTs in the U.S. Prometheum’s smart security warrants/Ember tokens and smart contract-enabled blockchain form the underpinning for a comprehensive route to a soup-to-nuts securities ecosystem, from issuance to trading through clearing and settling. The company issued a new white paper, with details on its approach, earlier today.
Ben El-Baz, Chief Strategy Officer at HashKey Digital Asset Group, said, “Prometheum’s legal and financial experts have cracked the code on how to hold a legal security token offering in the U.S. - something the financial world is eagerly anticipating. Wanxiang’s blockchain development prowess will help ensure the underpinnings of a new kind of system. We are very excited to invest in and work alongside Prometheum on this project.”
“We firmly believe that blockchain technology can bring more transparency to financial systems, and Prometheum’s approach to smart security offerings – operating within the existing U.S. Federal Securities Laws – is well thought out with strong promise,” said Yu Du, General Manager at Wanxiang Blockchain Labs. “We think Prometheum will have a disruptive effect on the US financial industry, and we are excited to work closely with the team to launch a robust and compliant ecosystem into the US capital markets.”
In May 2018, Prometheum filed a Reg A+ Offering Statement for its own SST, in which it seeks to raise $50mm by selling warrants for its Ember tokens. In June 2018, Prometheum struck a strategic partnership with broker-dealer Manorhaven Capital LLC and filed with the SEC for registration as an Alternative Trading System (ATS).
Prometheum anticipates being the first U.S. issuer to sell smart security warrants/tokens under Reg A+, qualified for public trading, fully compliant with the Federal Securities Laws. That means, unlike all other tokens issued to date, Prometheum warrants for Ember tokens will, when qualified by the SEC, be available to all investors (both accredited and non-accredited) and will be legally tradable in the secondary securities market in the United States.
“All of the pieces are falling into place, ahead of schedule,” said Aaron Kaplan, Co-CEO of Prometheum. “We anticipate hosting our first offerings for issuers in 2019. We are thrilled to be working with HashKey and Wanxiang as we continue to move Prometheum forward.”
Access Prometheum’s offering documents at the SEC web site at https://www.sec.gov/cgi-bin/browse-edgar?company=Prometheum&owner=exclude&action=getcompany. Learn more about Prometheum at https://www.prometheum.com/.
About HashKey
HashKey Digital Asset Group Limited (HashKey) is a leading holding company focused on investment in the fintech and blockchain industries. Founded by veterans in the field, HashKey aims to promote innovation, entrepreneurship, technological advancement and adoption with its forward-looking vision, professional insight and global synergistic network. By empowering industries with fintech, HashKey hopes to liberate productivity and to promote inclusion for the world we live in.
About Wanxiang Blockchain Labs
Funded by China Wanxiang Holdings, Wanxiang Blockchain Labs is a non-profit research institution focusing on Blockchain technology. Wanxiang Blockchain Labs provides support for the research, entrepreneurship, developments and applications in the industry. It will also provide reference information for regulatory bodies. Overall, Wanxiang Blockchain Labs dedicates itself to the promotion and application of blockchain industry, and to explore how the technology will be contributing to the development of the economy and the society.
About Prometheum
Prometheum, Inc. proposes the only comprehensive route to a smart security offering. Founded by a group of seasoned Wall Street securities attorneys, Prometheum is the first company to propose an SEC-qualified freely trading ecosystem of securitized tokens to all investors. Its proposed warrants/Ember tokens and smart contract-enabled blockchain form the underpinning for a comprehensive route to a soup-to-nuts securities ecosystem, from issuance to trading through clearing and settling. Prometheum anticipates hosting its first smart security offering for issuers in 2019. Learn more at www.prometheum.com.
