Republic Report: 5 Startups Hit $1 Million Funding Cap under Reg CF Following Note Token Launch

Republic, a mission-driven investment crowdfunding and tokenization platform, is out with a note that five startups have hit $1 million in funding since the launch of their Note token program.

“This is an important milestone in Republic’s history,” commented Shrina Kurani, Vice President of Business and Head of Tokenization at Republic. “It marks the first time that a company, outside of those involved in crypto/blockchain technology, has raised a million dollars on our platform and it’s not even one company – it’s five, all within a few months of our digital token Note launch. This reinforces that startups can successfully raise money from the crowd, and we’re pleased to roll out even more rewards as part of our program to encourage more investors and partners to join the startup ecosystem.”

Republic typically uses the Reg CF (Regulation Crowdfunding) exemption which currently has a funding cap of $1.07 million.

Launched in April of 2019, the Note rewards Republic users for supporting the global startup ecosystem. Note provides additional benefits to Republic investors and, since launch, more than 300,000 users have participated in the program. Republic users can earn credits toward startup investments, invite-only events, and perhaps a seat at the Republic Advisory Board. Republic is also offering “Note Bounties,” which help users earn more Notes.

The five startups topping $1 million are as follows:

  • CHRGR – advertising that powers your brand (New York)
  • InnaMed – using smart, at-home blood testing tech to enable personalized medicine (Philadelphia)
  • Mealthy – home cooking made easy (Austin)
  • Sapient – using machine learning to eliminate energy waste (Philadelphia)
  • SimpleShowing – the new way to tour and buy a home (Atlanta)
  • Accessible even to those without a digital wallet, the Republic Note rewards users, investors, and partners for activities taken on Republic.

Republic hopes to eventually allow Noteholders to benefit from Republic’s upside potential by investing in the crowdfunded securities. If the Securities and Exchange Commission (SEC) qualifies the Reg A+ filing, Note holders may get a cut of the investment returns.

Republic Adds More Perks to its Note Token, Still No Qualification on Reg A+

Republic launched its Note token earlier this year. In July, Republic shared that over 3 million of the digital assets have been distributed since it was revealed.

This week, Republic revealed more “rewards” affiliated with Note as well as more ways to earn the token.

Note token h0lders now gain access to “VIP Events” and priority access to investors to participate in an offering after it sells out on the Republic crowdfunding platform.

Additionally, Note token holders get notified of deals before everyone else.

There is a Perks page available so holders can check out what they can gain access to. Expect more services to be incorporated over time. It is pretty easy to receive a few Note tokens. For a limited time, all you have to do is claim 10 tokens in a “welcome grant.”

The more interesting aspect of Note (at least in our opinion) is the intent to shift Notes into a digital asset that generates returns for holders.

Republic is working on a Reg A+ qualification, and, if the SEC qualifies the filing, Note may become a profit-sharing vehicle for its platform users and investors. That would be cool.

Republic Update: Over 80 Campaigns Funded + More than 3 Million Note Tokens Distributed

Mission-driven crowdfunding platform Republic has distributed a brief report on the company’s progress. Republic is an interesting Fintech platform that focuses on Reg CF but company is also deep into the crypto sector. An offshoot of AngelList and a sister platform of CoinList, Republic has built a solid reputation for innovation in the online capital formation sector.

Launched in the fall of 2016, Republic has since funded 80 campaigns. So far in 2019, Republic has listed 29 different companies on their platform so the platform is experiencing solid growth and on track to raise capital for more than 60 companies this year.

For 2019, companies listed on Republic boast an 86% success rate for funding which is pretty solid. It is important to note that Republic incorporates a thorough vetting process for each company that uses their services.

Another interesting quality of Republic is their Note Token offering. Republic states that over 3 million Note tokens have been distributed since the digital asset was announced. Republic expects to use Note tokens to reward its users. The company is working on a Reg A+ qualification, and, if all things work out, Note may become a profit-sharing vehicle for its platform users and investors. Holders may be able to receive gains from the broader portfolio of issuers.

As the Securities and Exchange Commission (SEC) has just qualified the first two Reg A+ token offerings – things look pretty good for Republic.

Earlier this year, Republic CEO Kendrick Nguyen told Crowdfund Insider:

“… real estate, movies, and beyond .. We now view Republic no longer as just an equity crowding platform it is a family of businesses.  We are a full stack business model for founders across the board. Crypto is relevant to our other business models.”

Since 2016, over 100,000 people have funded startups on Republic. The Note digital asset could very well be the future of diversified investing in early-stage companies.

Republic’s Note Tokens Continues to “Test the Waters” as Reg A+ Filing is Pending

Republic, a crowdfunding and digital asset platform, launched one of the most interesting crypto offerings back in April. Republic announced the launch of Note digital tokens as a path to reward platform users who are engaged with their capital formation community.

In just a few days, Republic had freely distributed almost 2 million Note tokens. All you had to do was sign up and, if wanted a few more, invite some of your friends to have some Note tokens added to their digital wallet.

But the most interesting thing about Note is the intent of Republic to operate the digital asset as a security.

According to the small print, Republic states:

“Although the Note may not at this time constitute a “security” under our view of applicable laws and regulations, Republic is conforming to the standards of testing the waters under Regulation A of the Securities Act of 1933, as amended (“the Act”). This process allows companies to determine whether there may be interest in an eventual offering of its securities.”

Republic then expands on its vision for Note:

If and when Republic conducts an offering under Regulation A, it will do so only once (i) it has filed an offering statement with the Securities and Exchange Commission (“SEC”), (ii) the SEC has qualified such offering statement and (iii) investors have subscribed to the offering in the manner provided for in the offering statement. The information in the offering statement will be more complete than the test-the-waters materials and could differ in important ways.”

So a lot of this is hypothetical now. But what Republic hopes to do is to “connect the Note to Republic’s entire present and future startup portfolio, entitling you to returns whenever any startup successfully exits.” Kind of like a VC fund but for the little guy.

Now that could be pretty cool. If Republic receives regulatory approval for Note, holders can benefit from successful startups while gaining immediate diversification of the whole Republic portfolio of companies. We will know more once a Form 1-A is filed with the Securities and Exchange  Commission (SEC).

It is widely known within the digital asset sector that not a single Reg A+ filing that has mentioned, blockchain, crypto, digital asset, etc. has been qualified by the SEC. The regulators want to make certain they have all (or most of) the bugs worked out before they hit the go button. But expectations are that in the not so distant future, the SEC will start qualifying digital asset Reg A+ offerings. We would not be surprised if Republic is one of the first to receive SEC approval.

Crowdfund Insider has heard through the grapevine that Republic is pleased with the response to the Note Program so far.

A person with knowledge on the Note token project told us:

“User engagement and community building has seen a notable increase. It [has] given Republic the platform and the forum to engage our user base, and encourage them to join the mission and spread the message of entrepreneurship and investment for all. Republic is working on new perks and additional benefits to keep participants engaged.”

It will be interesting to see how Note evolves if the Reg A+ offering becomes a reality.

Republic Quickly Distributes Note Tokens, Seeks to Issue Under Reg A+ with Holders Possibly Earning Income in the Future

Online investment platform Republic revealed last week that Note, a security token which may be issued under the Reg A+ exemption, has already granted 1.8 Note tokens. 

The Note tokens concept was first revealed in March when it was reported that Republic had acquired RenGen Labs, previously doing business as SaftLaunch, a security token issuing platform.

Republic has been operating as a FINRA approved Reg CF Funding portal. But with Note, it appears that Republic is shifting gears as it intends to issue the token under Reg A+, or perhaps Reg D, depending on how things shake out. Republic currently promotes its ability to issue securities under the full stack of securities exemptions including Reg S.

By using the Reg A+ security exemption, Republic may raise up to $50 million – a far higher amount than the cap under Reg CF which currently stands at just $1.07 million. Additionally, both accredited and non-accredited investors may participate in a Reg A+ offering. Importantly, securities issued under Reg A+ may be traded soon after the completion of an issuance.

Note is a unique project. Republic has always been a mission-driven platform seeking to empower underserved segments of society while enabling all investors to access compelling investment opportunity. Note is an extension of this thesis.

Since platform launch, Republic has helped over 100 companies raise capital online. More than 25% of these startups were venture-backed at the time of their Republic campaign, and many have apparently raised further funding at a premium.

Described as a product that allows individuals to “Invest in tomorrow, get rewarded today,” if everything works out, Republic may distribute a portion of the income generated from the investments to Note holders. A cool concept that still must pass muster at the Securities and Exchange Commission (SEC) but an interesting differentiator for the site.

While the total suppy of Note tokens has yet to be determined, Republic states that supply will be capped. Once issued, the only way to earn Note tokens will be from other holders. This supply constraint may drive the value higher over the ensuing years.

Interested individuals may sign up to receive future Note’s now.

Crowdfund Insider wanted to learn more about the thought process behind the project and expectations for the future. We recently spoke to Republic Chief of Staff Shrina Kurani and she provided additional information on the Note token offering.

What was the genesis of Note and creating a fund like vehicle for the Republic supporters?

Shrina Kurani: The Republic community has believed in our mission from the very beginning, and the Republic Note is a way to create a more symbiotic relationship between founders investors.

We’re strengthening our community and incentivizing engagement on our platform by immediately rewarding users with Notes when they contribute to our community. The active participants in our community receive more Notes.

It is our intention, but we can’t firmly commit to, rewarding Note holders by connecting Notes, or providing means for Note holders, to receive the right to future income so that when we win – our community wins.

[easy-tweet tweet=”It is our intention, but we can’t firmly commit to, rewarding Note holders by connecting Notes, or providing means for Note holders, to receive the right to future income so that when we win – our community wins” template=”light”]

Our lawyers require us to specify this may be fund-like but we have no intention of creating a fund or selling interests in a fund, stay tuned for more.

We also want to be abundantly clear, holding Notes now does not entitle you to any economic right; you will have to subscribe to a separate, future, securities offering to receive that right. Note holders will be the first to know the full plan when we are ready to roll it out.

Have you filed the form 1-A yet? Are you fairly confident it will be qualified?

Shrina Kurani: Internally, we’ve been preparing for the necessary regulatory filings since last June when we started the process of transferring our funding portal license from our parent company to a subsidiary (the first time it’s been done since Reg CF went live!).

We are now preparing our offering documentation and should we choose to move forward with the Reg A+, we believe we are well positioned to receive a qualification – if we can’t receive a qualification, we have other routes to achieve our goals.

Note holders should be aware that we may move forward with an offering that only allows certain classes of persons to participate.

We see our friend’s at Blockstack having filed their Form 1-A publicly as a great step toward our goals and mission – we hope that they receive a qualification soon so that other blockchain projects can follow in compliantly reaching the masses with their tokens.

Is there a cap on Note tokens? Over time, will you be posting an NAV? And what about trading?

Shrina Kurani: We want to respectfully table that question – at the time we are able to reward Note holders with a security interest, we will reveal all of these things – at the moment our focus is staying compliant and providing users a great experience on our funding portal, with the Note today, as a loyalty rewards program that lives solely on our site, that has real benefits and use on the site.

Anything else of interest in the queue for Republic? Are you going global soon?

Shrina Kurani: Republic is gearing up to be a one-stop-shop for startups raising capital – an investment platform for companies at any stage.

We’re flipping the model on its head by opening up our platform to our community first, and we’ll continue to challenge how wealth is distributed to level the playing field.

[easy-tweet tweet=”Republic is gearing up to be a one-stop-shop for startups raising capital – an investment platform for companies at any stage #Crowdfunding” template=”light”]

Republic Reports 1,800,000 Note Tokens Have Been Granted

In less than one week, Republic, a crypto issuance and investment crowdfunding platform, has reportedly distributed over 1.8 million Note digital tokens. Note tokens were first revealed in March when it was revealed that Republic had acquired RenGen Labs (previously dba as SaftLaunch),

Republic’s Note tokens are designed to rewards users, investors, and partners for activities taken on the Republic platform.

Rebublic explained in an email:

“The Note is our way of thanking Republic’s earliest believers — especially our community of investors and partners. It is our hope to mobilize millions more to back and support founders on Republic, and the Note plays an important role in rewarding new investments and aligning incentives between founders and backers.

We’re very excited by the initial response. We saw 30x the usual volume in signups, especially through friend referrals. We’ve granted over 1.8M Notes to new and existing users. We were also featured in the Wall Street Journal and several other media stories.”

Republic said that for a limited time they are offering 2x the rewards for actions on the platform.

Crowdfund Insider reported that Republic intends on issuing Note under the Reg A+ securities exemption. Under this rule, an issuer may raise up to $50 million in securities issuance.

Republic Commences Sign Up for Digital Asset “Note,” May Issue Under Reg A+ Rules

Investment crowdfunding platform Republic has kicked off the forthcoming distribution of the digital token “Note.” The issuance of the digital asset was foreshadowed by Republic’s acquisition of RenGen Labs, a private equity platform that has operated in the initial coin offering-security token offering sector of finance. Until April 2018, RenGen was operating under the SaftLaunch brand.  Republic did not reveal the terms of the acquisition.

When the acquisition of RenGen was announced the company stated there would be a blockchain-powered token would connect investors to the value of Republic’s entire portfolio of investments. Holders of Note tokens would be able to earn the tokens for “every action you take on Republic, from investing in companies to referring fresh deals, to telling your friends about a portfolio company you love.”

In reviewing the fine print of Note, it appears that Republic intends to issue the asset using Reg A+. Republic states:

“Although the Note may not at this time constitute a “security” under our view of applicable laws and regulations, Republic is conforming to the standards of testing the waters under Regulation A of the Securities Act of 1933, as amended (“the Act”). This process allows companies to determine whether there may be interest in an eventual offering of its securities. Republic is not under any obligation to make an offering under Regulation A. Republic may choose to make an offering to some, but not all, of the people who indicate an interest in investing, and that offering may not be made under Regulation A. For example, Republic may determine to proceed with an offering under Rule 506(c) of Regulation D, in which case we will only offer our securities to accredited investors as defined by Rule 501(a) of Regulation D.”

If Republic decides to pursue the issuance of a digital asset under Reg A+ the offering must first be qualified by the Securities and Exchange Commission (SEC). To date, not a single security token offering using Reg A+ has been approved by the SEC. While many offerings have been filed, the SEC has been hesitant to move forward with any Reg A+ filing that includes the terms blockchain, security token, digital asset etc.. Some issuers have simply refiled removing all digital asset vernacular.

On the sign-up page for Note, Republic states:

“The Note is a scarce blockchain-powered digital asset easily earned and held on Republic. We intend to connect the Note to Republic’s entire present and future startup portfolio, entitling you to returns whenever any startup successfully exits.*  With the Note, when we win, you win.”

Republic is a regulated funding portal issuing securities under Reg CF. The potential Reg A+ offering will be the platforms first. Under Reg A+, an issuer may raise up to $50 million in an IPO like offering that entails extensive documentation with the SEC. Both accredited and non-accredited investors may participate in a Reg A+ offering.

Republic is a leading Reg CF platform that has targeted underserved segments of business in need of growth capital. A sister platform to both CoinList and AngelList, Republic supports diverse/mission-driven companies while providing access to non-accredited investors to these early-stage firms. Republic has issued both traditional and crypto based securities since platform launch.

Andromium, Inc. Launches Kickstarter to Turn Android Smartphones Into Desktop Computers

Andromium 2

Last week, Andromium, a company that specializes in Android smartphones, hit Kickstarter to raise $100,000 for a new software that transforms cellular devices into a compact desktop computer.

Andromium 3According to the campaign, Andromium’s key mission is to democratize the desktop by making it more affordable and highly accessible. By doing this the company has seamlessly turned Android devices into a desktop computer. Not only is it affordable, it is easy to use: simply install the app and plug your smartphone into the dock.

Explaining the hardware, the Andromium stated that its dock embodies sleek, clean design and combines the best aesthetics, which are beautiful, ergonomic, and pleasing to use. “We built Andromium dock with you in mind. We include three full-sized USB ports for all the accessories you would need on a desktop computer, including gaming devices. We’ve also integrated a port for a power cord, so your phone is always charged.

“We specifically designed the dock with portability in mind. We’ve given it a light, durable, travel friendly design with a flip cover to cover it during transport. On top of this, the dock has been designed so to figure your device without having to remove its simple protective case.”

Gordon Zheng, who was previously a senior engineer at Google, is the mastermind behind the Andromium software. He left the popular search engine to pursue his dream of making handheld desktops a reality. He has created an Android application and the completely Andromium Operation System (OS). The OS works in synergy with the dock.

The team noted, “The [Andromium] application integrates seamlessly with your phone, and can be entered and exited simply. While in desktop mode, your phone can still receive calls, text messages and push notifications – so you keep its complete original functionality.

Andromium 1“The User Interface is receiving a completely updated redesign to make it even friendlier. We’ve built out all the functionality, and we’re ecstatic with how it works. We’ve teamed up with some of the best User Interface and User Experience designers in the industry to take Andromium’s aesthetics up to the quality of its performance. Adopting the best elements of Windows 7 and OSX UI paradigms, we’re creating a sleek, intuitive experience that highlights Andromium’s functionality and power.”

Andromium is designed for the most popular series in Android phones, the Samsung Galaxy. It works with both the Galaxy S and Note series (S3 – 2GB RAM version, S4, Note2, Note3, Note4). Currently S5 does not fit in the dock due to the USB port cover, but rest assured – we are supporting S5 also, via Chromecast.

Since its debut on the crowdfunding giant’s platform, Andromium has scored over $40,000 thanks to nearly 815 backers. It is set to close on January 25th.