Keepp AS – a share company registered in Latvia, is the first security-token offering (STO) project listed on Fintelum tokenisation platform. The equity-token crowdfunding campaign aims to bring-in investors from Europe and beyond, offering an ability to invest in a euro-denominated security, using also cryptocurrencies, such as bitcoin and ether.
The investment project aims to scale market-proven network of short- and long-term self-service storage facilities. In the first phase, the project plans to develop across Riga, Latvia. In the next, Keepp targets Lithuania and Estonia, fully covering the Baltic States and later following with the expansion across Europe. This fundraise is related to the first phase of business development, offering an unprecedented ability to invest cryptocurrencies in a physical business and become share-token-holders in a growing company.
The security token offering is planned to be represented on the Ethereum blockchain in the form of a security token (KEP). Total project funding sought is EUR 850,000. The offering is open to investments for individuals and corporate entities alike. Investors may purchase dividend-paying preferred shares of Keepp AS at EUR 2.50 per share and gain the right to dividend, estimated at around 15% per annum.
Fintelum showcases a direct investment into the Keepp AS share capital, without any special purpose vehicle (SPV) structures. Keepp represents an unprecedented direct investment in a highly demanded short-and-long-term storage business. Innovative asset allocation in a transparent European jurisdiction with considerable dividend translates into an attractive investment opportunity in a yield-starved and covid-19-disrupted investment environment.
Fintelum – a crypto crowdfunding platform – is an active contributor to the industry development. Member of the European Crowdfunding Network (ECN), Fintelum have been raising awareness about crypto-asset- based funding mechanisms and crowdfunding industry at large.
A Security Token Offering or STO is a funding method that may involve fiat money or cryptocurrencies being transferred towards purchasing a regulated security product in the form of a cryptographic token. A security token offering can be an equity token, debt token, hybrid or derivative asset token. Either security token type of offering is regulated by the existing securities and crowdfunding laws. Each purchase is made within the framework of an offering document and related KYC/AML processes. A token offering is deemed to be a security if it promotes future increase of value of the representative token.
Security token offering as the name implies is an offer of a security, where offering details, such as the amount, lock-up periods, or the eligible investor types may differ by jurisdiction. As any security asset, a security token can be traded or exchanged. The primary offering of a security can be done either through crowdfunding, private placement, or public prospectus offering.
Depending on the investors’ demand, the Keepp project also considers to open the secondary market.