[2018-05-31] Inventor of Beats Headphones Applies to SEC for $300 mln ICO

[Thadeous]

US: Inventor of Beats Headphones Applies to SEC for $300 mln ICO

Embattled headphone manufacturer Monster Products Inc. has applied to U.S. regulators to launch a giant $300 mln Initial Coin Offering (ICO), a Securities and Exchange Commission (SEC) filing signed May 25 confirms.

Monster, which began trading in 1978 but in recent years became infamous for signing away the rights to its Beats headphones, now plans to issue 500 mln Monster Money Network (MMNY) tokens, selling 60% in its ICO. The SEC filing represents a registration of MMNY tokens as possible securities under U.S. law.

The proceeds will go towards the creation of a platform, based on the Ethereum blockchain, to allow investors to use tokens for purchases, which Monster breaks down into three stages:

        “Stage I: establish Monster Money Network to provide the basic transactional functions, such as Monster Money Wallets and processing transactions in MMNY Tokens;
        Stage II: establish a private off-chain platform where micro-transactions can be completed without or with very limited transaction costs caused by mining activities (“gas”).
        Stage III: complete Monster’s blockchain and integrate such blockchain to the operating systems of the Company, such as marketing, accounting and auditing, payroll services, inventory control and shipping management.”

The move makes Monster the latest major company to venture into the ICO arena, just one month after encrypted messenger app Telegram pulled the plug on the public section of its own offering.

Regulatory attitudes to the fundraising method continue to tighten, the U.S. part of a joint operation with Canada to investigate and punish companies that do not comply with established laws.

Included in Monster’s SEC filing is even a proviso regarding delays in issuance beyond two years:

    “The holders of the Tokens may convert all or part of their Tokens to Common Stock of the Company at a ratio of four Tokens to one share of Common Stock in the event that (i) our Tokens shall not have become publicly tradable on June 30, 2020 or (ii) our Tokens shall have ceased trading publicly due to certain governmental enforcement actions on June 30, 2020.”

This week saw a glimpse of the culmination of another unplanned ICO incubation period as Tezos announced its beta and subsequent mainnet platform launch. Investors had waited almost a year since contributing to its $232 mln ICO in July 2017, launching several consumer lawsuits against Tezos for failing to distribute tokens.

Source: https://cointelegraph.com/news/us-inventor-of-beats-headphones-applies-to-sec-for-300-mln-ico

[1715155584]

1715155584

[SectorZero]

US: Inventor of Beats Headphones Applies to SEC for $300 mln ICO

Embattled headphone manufacturer Monster Products Inc. has applied to U.S. regulators to launch a giant $300 mln Initial Coin Offering (ICO), a Securities and Exchange Commission (SEC) filing signed May 25 confirms.

Monster, which began trading in 1978 but in recent years became infamous for signing away the rights to its Beats headphones, now plans to issue 500 mln Monster Money Network (MMNY) tokens, selling 60% in its ICO. The SEC filing represents a registration of MMNY tokens as possible securities under U.S. law.

The proceeds will go towards the creation of a platform, based on the Ethereum blockchain, to allow investors to use tokens for purchases, which Monster breaks down into three stages:

        “Stage I: establish Monster Money Network to provide the basic transactional functions, such as Monster Money Wallets and processing transactions in MMNY Tokens;
        Stage II: establish a private off-chain platform where micro-transactions can be completed without or with very limited transaction costs caused by mining activities (“gas”).
        Stage III: complete Monster’s blockchain and integrate such blockchain to the operating systems of the Company, such as marketing, accounting and auditing, payroll services, inventory control and shipping management.”

The move makes Monster the latest major company to venture into the ICO arena, just one month after encrypted messenger app Telegram pulled the plug on the public section of its own offering.

Regulatory attitudes to the fundraising method continue to tighten, the U.S. part of a joint operation with Canada to investigate and punish companies that do not comply with established laws.

Included in Monster’s SEC filing is even a proviso regarding delays in issuance beyond two years:

    “The holders of the Tokens may convert all or part of their Tokens to Common Stock of the Company at a ratio of four Tokens to one share of Common Stock in the event that (i) our Tokens shall not have become publicly tradable on June 30, 2020 or (ii) our Tokens shall have ceased trading publicly due to certain governmental enforcement actions on June 30, 2020.”

This week saw a glimpse of the culmination of another unplanned ICO incubation period as Tezos announced its beta and subsequent mainnet platform launch. Investors had waited almost a year since contributing to its $232 mln ICO in July 2017, launching several consumer lawsuits against Tezos for failing to distribute tokens.

Source: https://cointelegraph.com/news/us-inventor-of-beats-headphones-applies-to-sec-for-300-mln-ico

Bold statement. They certainly can gather in the excitement some amount but $300 mln it very much and it is not clear that investors are buying in their project.  Waiting for reaction SEC.

[Jating]

At least we find someone who is willing to cooperate with US authorities about their plan to launch an ICO. This is a good news and will probably boost Etheruem as well. Let's see how it goes.

Probably the company needs something special to really turn this business around as it was reported that they are not going. So they hop in the latest 'fad' which is crypto / blockchain to at least stimulate their embattled company. So its a win-win situation. Again, its too early to tell so let see and hope that it will push the market again with this news.

[bbc.reporter]

I reckon Monster Products Inc. is too late. The community has already been scammed many times that they now cannot afford to baghold more tokens hehehe. Every one of them is waiting for next pump that might not come hehe.

[hatshepsut93]

Traditional companies are getting into ICO's simply to grab money from overoptimistic investors as well as boost their stock, just like it happened with that iced tea company not so long ago. But if a company is not doing well on traditional markets, there's no reason it should suddenly perform better because of ICO, this is literally just gathering fund via Ethereum, there's no innovation here that could be worth millions. There's no "blockchain technology" here, they will produce headphones just like before, and the only utility of their token is that it can be exchanged for their stock.

[entrepmind23]

Included in Monster’s SEC filing is even a proviso regarding delays in issuance beyond two years:

    “The holders of the Tokens may convert all or part of their Tokens to Common Stock of the Company at a ratio of four Tokens to one share of Common Stock in the event that (i) our Tokens shall not have become publicly tradable on June 30, 2020 or (ii) our Tokens shall have ceased trading publicly due to certain governmental enforcement actions on June 30, 2020.”

I like this part because being investors, you would want to secure your funds and looking at various ICOs now in the market, there are times that they are having a hard time listing in exchanges as it is getting expensive especially in big exchanges like binance. Knowing that their company is already established, there would be many investors who would wait for it to open and may even be sold out in just a minute. There have been ICOs that are sold out in just a minute because investors are flocking. With a back up plan for the delays, this sure would attract more investors.

[Samarkand]

I reckon Monster Products Inc. is too late. The community has already been scammed many times that they now cannot afford to baghold more tokens hehehe. Every one of them is waiting for next pump that might not come hehe.

I think that it is likely that we won´t even see a public ICO at all.
It should be similar to the Telegram ICO that didn´t even happen for the public,
because they already raised so much money in a private sale.

A popular company like Monster Products Inc. will probably easily manage to raise 20 % of
the Telegram ICO raise, which would already put them past their 300M $ goal.

[slaman29]

They didn't invent anything, they just patented some technology that was marketed as superior to others and everybody jumped on their hype bandwagon. I hope the SEC recognizes this attempt at just trying to raise money to put their woes away, and rejects it. Or I hope they go along and people jump again onto their bandwagon and all suffer in the end. This is not crypto for the sake of crypto, blockchain for the sake of blockchain. This is just pure money games.