NewTech Myning Files With SEC to Raise $180M Through a SAFT Model ICO
Recently, the SEC put out a Form D submission declaring the intentions of an Estonia-based firm that is looking to raise a whopping $180 million during its upcoming crowdfunding event. Initially, the ICO will be launched as a simple agreement for future tokens (SAFT). The company behind the crowdsale is known as NewTech Myning OÜ and has its head offices in Tallinn, the capital city of Estonia. Surprisingly, the firm is still relatively green, having been established less than two months back.
According to the SEC filing made by NewTech, the establishment will avail tokens exclusively to recognized traders through a SAFT. Simple agreement for future tokens (SAFT) is a type of an investment contract whose purpose is to assist blockchain startups in raising money to fund their projects without going against financial laws, particularly regulations that control assets that are considered as securities. Although it is rarely used, the SAFT model has been gaining popularity of late amongst blockchain projects, especially the nascent ones. Fundamentally, the SAFT mechanism initiates the token sale after the inauguration of the blockchain project.
The filing to the SEC (Securities Exchange Commission) further declares that NewTech Myning states that it is seeking to issue rights to receive GoWeb tokens in the future through the SAFT model. Upon a thorough evaluation of the submission, a signature belonging to Rainer Osanik, a partner at ROS Law, is found at the end of the document.
Currently, information concerning NewTech Myning is somewhat scanty, given that the company is still new to the market. Additionally, there is insufficient information regarding GoWeb tokens which are to be sold in the upcoming crowdsale event. Naturally, the absence of such critical information raises red flags about the credibility of this impending ICO.
If NewTech Myning manages to realize the set hard cap of $180 million, it would be a significant achievement, and one of the most successful ICOs in the history of cryptocurrency crowdfunding events. As of now, this record is held by the Telegram messaging application, which raised an approximated $2 billion during its presale event earlier in 2018.
Nonetheless, the NewTech Myning crowdsale is not the only crypto-related project emanating from Estonia. In the past, the local government established a national digital currency project. Unfortunately, the project faced drawbacks when regulators from the EU imposed unfavorable laws that substantially scaled back its development.