Ryan Kavanaugh, the film financier and producer behind “The Social Network,” “The Fighter” and “Mamma Mia!” sets to create a trading platform and a security token based on the Ethereum blockchain.
It will allow fans to invest directly in movies once they IPO and trade titles as they go from the big screen to streaming video and other windows and platforms that generate revenue for content makers.
“We’ve created is a trading platform that allows for investors to literally purchase into their favorite movies.”
The movie exec says the tokens, codenamed Entertainment Stock X (ESX) will launch later this year. Kavanaugh says his platform is designed to provide dividends, which may attract hedge funds seeking market inefficiencies and alternative assets. But the main thrust is attracting individuals.
He’s confident it will pass government scrutiny under Regulation A of the Jobs Act. That law allows mass marketing to adults, not only so-called authorised investors, to invest in private companies and even initial public offerings with fewer government regulations and requirements than hedge funds and traditional securities.