Alt-Investing -‘Wu-Tang Coin’
New “Wu-Tang Coin” ICO raises money to buy Martin Shkreli’s “Once Upon A Time In Shaolin.”
In the latest sign that the market for initial coin offerings (ICOs) is probably peaking, Bloomberg (and a few other outlets) are reporting that cryptocurrency cranks are keen to raise dosh for one singular — and amazing — aim: to purchase the only copy of “Once Upon A Time In Shaolin”, the coveted Wu-Tang Clan record owned by none other than Martin Shkreli (who paid a record $2 mil for it last year) and just landed in jail recently.
Enter ‘Wu-Tang Coin’, the digital token at the heart of a purported ICO whose sole purpose is to buy back the rare hip hop gem, and then publish the tracks online for all to relish. The coin launched Monday, according to its handlers, which has about 19 followers (on Twitter, at least) and raised about $1000 so far. Rare Music Ltd., the company behind the underwriting, is seeking to raise — don’t laugh — $4 million in total.
Because of its decentralized nature, the big brains behind Wu-Tang Coin argued, in a White Paper, that an ICO would be able to circumvent legal restrictions barring the owner(s) from publicly releasing the album for commercial purposes until the year 2103. The goal of the project is to dump the album into the public domain. The issuers say coin holders will be compensated with “gifts” to get them to subscribe. Hmm.
“A straightforward purchase of the album by a music company would be pointless because the album cannot be ‘commercially exploited’ due to legal strictures. Therefore…we seek to:
- Raise funds via an ICO and attempt to negotiate a purchase with the album’s current owner.
- Give Wu-Tang Coin donors/investors (i.e. owners of Wu-Tang Coin) gifts to incentivize participation.
- Release the album on all free and paid streaming music sites after a short grace period (six months) designed to give owners of Wu-Tang Coin time to enjoy the album exclusively, before everyone else.“
As VIVISXN noted in an earlier post, the ownership of the Wu-Tang album is in doubt after Shkreli put it in hock (on eBay) for just over $1 million — half what he paid for it, shortly before being labeled “the most hated man in America” when his former company, Turing Pharmaceuticals, raised the price of Toxoplasmosis drug Daraprim by +5,000%.
After being convicted on three counts of securities and wire fraud two weeks ago, Shkreli’s bail was revoked shortly before the auction ended and he was sent to the big house. A judge had him incarcerated after he (stupidly!) published “a satirical post” offering $5,000 to anyone who would pluck out a strand of Hillary Clinton’s hair. Anyway, for all you savvy asset allocators out there seeking uncorrelated returns, Wu-Tang Coin is a compelling, albeit risky, punt.
VIVISXN MEDIA – Music + Finance + Alternative Investments