The Crypto markets may not have been at their best, but the ICO markets still seem to be of liking of the investors. This was clearly seen when “Blockchain’s Netflix ICO” TaTaTu raised $575 million in its private pre-sale proceeds. With this raise, the startup has just completed the third largest ICO in history, just behind EOS and Telegram.
Interesting company, niche offerings gather investor interest
TaTaTu labels itself as “the first video-on-demand and social platform to reward you for watching movies (sic), music videos, sports, gaming and celebrity content.” In contrast with current entertainment platform models, TaTaTu says that its use of blockchain permits viewers to be rewarded for interacting with content.
The basic idea behind TaTaTu is simple, viewers of the content distributed through the service will share in the ad-revenue earned by the service, as will creators who provide their work. The platform launched an alpha release on June 15 for 500 users, yet the press release states that 200,000 people have joined the waiting list to participate in the new platform. Early users will earn TTU tokens, the native crypto token of TaTaTu, for testing and be using the platform, and much like other content platforms, such as Steemit, these early entrants are likely to receive some of the richest rewards if the new protocol works as planned.
And according to the white paper, revenue from advertisers will also be paid in the native crypto token and all rewards for the watching of content will be paid out in TTU as well, which it calls advertising video-on-demand (AVOD).
Apart from Ad revenues, TaTaTU, Like Netflix, will produce its own content. Projects reported to be in development include a biopic of Ferruccio Lamborghini starring Alec Baldwin and Antonio Banderas and “The Sound of Freedom” starring Jim Caviezel and Mira Sorvino.
CEO Andrea Iervolino of TaTaTu said that the success of the pre-sale means that it will not be making the token available on general sale. Though he realised that many will be disappointed by that news, he feels this is the right approach.
Also, read: Nishiawakura Village to launch Japan’s first Municipal ICO
Royal and institutional investors show interest
The so-called “Blockchain Netflix” has achieved to attract faith and support from institutional blockchain investment firms BlockTower Capital and Lvna Capital, and also, apparently, from Prince Felix of Luxembourg and Lady Monika Bacardi, the second heir to the Bacardi Liquor company. Lady Bacardi is said to have contributed around $100 million to the project.
“The large round seems surprising in the context of a crowded and bearish crypto industry, in which investors typically participate with crypto, and not fiat. We think it, in fact, isn’t,” Allan Cassis, the CEO of Lvna Capital, told CoinDesk. Cassis’ family gave money to the project, but Lvna Capital did not participate in the round. Pointing to a new category of interested crypto backers, he continued, saying, “This is new money coming into the markets at a time when we continue to see delays from the long-expected institutional investors’ participation in bitcoin.”
This ICO success shows that there is still interest among investors for Crypto Projects. One just needs the right project to come out with the unique value proposition, innovativeness and of course usability and adaptability.
Will TaTaTu be as successful as Netflix? Will this ICO restore faith in other upcoming projects? Do let us know your views on the same
Written by Nilesh Maurya @ https://coingape.com/usd-500-million-raised-by-blockchains-netflix-ico-tatatu/ June 22, 2018 Nilesh Maurya