The decentralized computer network Blockstack says it has raised $23 million in a groundbreaking token offering approved by the U.S. Securities and Exchange Commission.
This marks the first time retail investors in the United States could invest in a fully regulated fundraising round and receive a crypto-based token instead of shares in the company.
The New York-based startup, which aims to help developers create blockchain-based apps that can scale to millions of users, says more than 4,500 people and organizations have invested in the platform.
In addition to the US, Blockstack says it raised funds from around the world, particularly in Asia.
“Recruit, one of the largest internet companies in Japan, partnered for the Japanese market.
And we are in discussions with international investors for an additional $5M+ which may be distributed in a separate private placement or in a follow-on SEC-qualified offering, as we have previously disclosed in our SEC filings. The goal of this additional distribution is to continue growing our community and network in Asia.”
The SEC approved Blockstack’s token sale back in July, allowing the company to launch a Regulation A+ funding round and raise a maximum of $50 million.
According to Blockstack, developers have built more than 250 apps using its technology, with most of those apps created in the last six months.