Tuesday, October 9, 2018

The future of public corporation funding – equities, debt and ICOs? Consider the UAE, Philippines and Malta.

Colleagues, the UAE is considering a new law that would allow corporations to issue ICOs as an additional method of raising capital. For most investors in the Western hemisphere and the Pacific Rim this seems to be a radical move. Moreover, is raises two fundamental questions: First, would you invest in the equity and/or debt of a company that “needs” to raise funds via an ICO? Second, which corporations are most likely to issue a successful ICO? One may argue that only companies that have troubled balance sheets would turn to an ICO as a desperate move to raise capital. However, in response to the second question, what if that company was itself a successful global leader in the financial or technology sectors – companies such as Goldman Sachs, JP Morgan, Apple, Amazon or Google come to mind. To take this scenario one-step further, what if such companies also offered crypto custody services or as some have speculated, owned and managed their own crypto exchanges. (Note: Facebook has be rumored to fall into this category). We at the Cryptocurrency Academy prefer to focus on facts and not idle speculation. Ii is not unfathomable that what we observe in Malta, the UAE and the Philippines could be precursors to a brave new crypto world in the next decade. Food for thought. Share a comment today! Lawrence – Cryptocurrency Academy (https://cryptocurrencyacademy.blogspot.com/

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