Hollywood's Ryan Kavanaugh to launch a security token for media projects after raising $100m

Warner Brother's exec Ryan Kavanaugh is planning to launch a security token for his studio, Proxima Media, after receiving $100 million in funding, according to a press release. The token, dubbed Proxicoin, will serve as a new tool for funding media, including film, TV and music projects and is backed by the Central Wealth Group of Hong Kong and Step Ventures.

The ERC-20 token has already been designed and audited, and the company has signed a contract with Malaysia-based Fusang Exchange, who will launch it in late 2019.

THE SCOOP

Keep up with the latest news, trends, charts and views on crypto and DeFi with a new biweekly newsletter from The Block's Frank Chaparro

By signing-up you agree to our Terms of Service and Privacy Policy
By signing-up you agree to our Terms of Service and Privacy Policy

Proxicoin holders are also going to partially own Entertainment Stock X, which will resemble a trading platform for "financing entertainment projects.” The platform has reportedly been in the works for two years and is due to launch later this year. 

“This is a game-changing moment for the entertainment industry.  Proxicoin makes a highly sought-after financial product available to many individual and smaller investors,” said Vincent Tse, CEO of Step Ventures. “Film, as an asset class, is traditionally uncorrelated to capital markets and has been a competitive and sought-after asset class among the large hedge funds and banks... During the Great Depression one of the only stocks that went up was MGM.”

Each media project will undergo an IPO, and 30 film projects have already signed contracts with the platform.