Ever wanted to be part of the next box-office hit? One Hollywood producer is trying to make that possible, using digital currencies and blockchain technology.
Chris Woodrow, who produced Oscar-winning films Hacksaw Ridge and Birdman plans to fund major motion pictures with digital currencies—and you can be part of it.
“Most individual investors have no opportunity to participate in the performance of studio-released product other than by buying shares in a studio’s parent company,” said MovieCoin, Woodrow’s company, in its draft white paper.
MovieCoin plans to sell $250 million worth of MovieCoin Smart Fund Tokens in its initial coin offering, and over the next three years plans to raise $1 billion, which will help finance 10 to 12 movies a year. “At that level [$250 million] we would be one of the better-capitalized companies in Hollywood,” said Woodrow.
The initial sale will be available to accredited investors both in the U.S. and offshore and, all going to plan, the Smart Fund Tokens will hit the exchange in about a year, at which point anyone will be able to buy and sell stock in upcoming movies.
Read: What investors need to know about initial coin offerings
Alongside the Smart Fund Tokens, the company will issue a nonsecurity token—Moviecoin. Woodrow hopes this can become the common currency of Hollywood. Whether it’s purchasing movie tickets, paying for rentals or receiving royalty fees, Woodrow said Moviecoin would make financial transactions in Hollywood more efficient and transparent.
“The benefit is when the consumer pays in Moviecoin the participant gets paid immediately,” said Woodrow. “Sometimes from box office to pocket it can take up to 18 months before the funds are actually received.”
“We are hoping it becomes the operational currency of Hollywood,” he continued.
Read: What is a SAFT? A crypto fundraising method drawing regulatory scrutiny
Due to regulatory uncertainty, this coin is only available to investors outside the U.S., Woodrow said.
Woodrow did not name any films the company has in mind, saying they will wait until funds are raised before taking the next step.
Source : MTV
