Brooklyn Nets Star Spencer Dinwiddie Hires A Broker-Dealer After Initial Launch Failure
National Basketball Association (NBA) star Spencer Dinwiddie has now tapped a broker-dealer in his initiative to tokenize professional athletes' value. The basketball star said that an investment bank is best suited in managing a forthcoming token offering, CoinDesk reports.
Through Dream Fan Shares (DFS), Dinwiddie stated that Tritaurian Capital, a FINRA registered investment bank that also serves as a broker-dealer offering highly specialized personalized placement expertise, has been hired to aid in enabling the firm’s first offering in securities which is associated with athletes’ earnings. The email statement reads:
“We are happy to announce the engagement of Tritaurian Capital for the upcoming SD26 offering. We believe they are the best suited team to help bring this emerging asset class to market.”
The statement also explained that Tritaurian is compliant with the necessary regulations and laws and has worked well with the necessary regulators for a couple of years and understands what the regulators want when it comes to blockchain and cryptocurrency.
At the start, North Capital Private Securities (NCPS) had been tapped as the broker-dealer for the upcoming offering. However, it remains unclear if the firm will still be part of the project or the deal has been cancelled.
DFS is set to provide Ethereum-based tokens which are linked to shares within the contracts, starting allegedly with Dinwiddie’s. The NBA star had in the past stated that he was looking to tokenize his own three-year contract that is valued at $34.5 million selling to potential investors in exchange for a lump sum.
Currently it remains unknown if contracts of professional athletes from other sports will be part of the upcoming initial token offering that will only involve accredited investors going for a minimum of $150,000. According to DFS, there are plans to introduce tokenized securities that are based on contracts for artists as well as social media influencers in the near future.
The Brooklyn Nets player indicated his plans to tokenize his contract last year but the NBA argued that his plans were against its collective bargaining agreement.