Harvard Management Company, the largest academic-endowment in the world, has invested in a forthcoming token sale by Blockstack, a full-stack decentralized computing network.

Thursday, Blockstack submitted a Regulation A+ crowdfunding exemption application to the SEC, stating their intent to hold a $50 million token sale. According to the filing, Harvard Management Company has already purchased 95.8 million of the company’s tokens valued at about $11.5 million.

A Regulation A+ exemption allows startups to sell either $20 million or $50 million worth of securities to non-accredited investors, without having to register them. It requires both approval and oversight from the SEC but was designed as part of the JOBS Act to be more flexible than an IPO.

If approved, Blockstart will sell a total of 295 million STX tokens at $0.30 each.

Why This Matters

Morgan Creek Digital’s Anthony Pompliano asked Blockstack CEO, Muneeb Ali, why the company decided to take this approach in launching an ICO and his answer is important. ,

“Blockstack could iterate their technology to conform with existing laws faster than regulators could iterate laws to conform to new technology," said Ali.

Blockstack, like many ICOs, is looking to create a decentralized token that follows U.S. regulations. The lack of clear cut rules forced them to find a creative alternative within the existing regulatory ecosystem. There’s no guarantee that they’ll be successful, but their efforts are promising. Equally as encouraging is the support from Harvard’s $37.1 billion endowment. The support from leading institutions will help drive mass crypto adoption and will likely warm regulators.

Bulls Aren’t Backing Down

While the SEC considers the filing, the bulls are fighting hard. For the second week in a row, the market saw tremendous volatility. Bitcoin hit a high of $5,402 Wednesday before a sell-off brought it back down to the $5,200 range. After a slight dip below $5,000, Bitcoin bounced back, holding around $5,072 Friday morning.

Click here to trade Bitcoin.

TOP HEADLINES


InvestmentPitch Media Invites Investors to the Global Chinese Financial Forum in Vancouver on April 13, 2019

For close to 20 years, NAI Interactive has been successfully introducing North American companies to the Chinese investment community. The keynote speakers are Gilbert Chan, President of NAI Interactive, discussing "How Technology is Changing Our Lives and Investing", and Ian Dawkins, Director of the BC Micro-License Association, who will address "Canadian Cannabis: Assessing New Investment Opportunities." Read more.


Harvard Bought Cryptocurrency – That’s a Ridiculously Big Deal

According to Morgan Creek Digital’s Anthony Pompliano and the token sale filing submitted by Blockstack to the U.S. Securities and Exchange Commission (SEC), Harvard University’s endowment invested in Blockstack’s crypto token sale. Read more.


Federal bill to exempt digital tokens from securities laws gets a new look, and a downgrade

On Tuesday, Congressman Warren Davidson (R-Ohio) reintroduced the Token Taxonomy Act—legislation which aims to exempt certain tokens and digital assets from federal securities laws, rescuing “digital tokens” from the SEC’s enforcement hounds and allowing cryptos to flow freely throughout the land, forever and ever, amen. Or that’s how it’s being sold, at least. Read more.


Bitcoin Beats the Dow, Outperforming Every Single Stock, in 2019

Traders and analysts are screaming about the stock market’s “historic” first quarter. The Dow Jones Industrial Average (DJIA) – which tracks 30 of the largest American companies – has staged an epic rally since the start of the year, chalking up 12 percent. Read more.


Cryptocurrency market report confirms gamblers drive blockchain adoption

In the first quarter of this year alone, at least 504 new decentralized apps (dapps) have been listed, and more than half of them are running on Ethereum. Read more.


Regulators in China are weighing a ban on Bitcoin mining

Cryptocurrency mining has become the latest target for the Chinese government seeking to phase out industries considered a drag on the country’s economy. Read more.


World’s Second-Largest Grocer Joins IBM Food Trust Blockchain

Albertsons Companies, the world’s second-largest supermarket company by sales, has joined IBM’s Food Trust blockchain, a digital system for tracking and tracing food between retailers and suppliers. Read more.


Telegram’s Cryptocurrency Stealthily Entered Private Beta: Russian Report

According to local Russian news outlet Vedomosti.ru, Telegram’s Open Network is now live in private beta, with several programmers and beta testers having access to the highly-touted cryptocurrency project. The outlet cites two companies that have been given access to the beta network as sources and provides no real detail on what the testing looks like. Read more.


Top YouTuber PewDiePie Joins Blockchain Live Streaming Platform

The 29-year-old Swedish content creator, real name Felix Kjellberg, has signed an “exclusive” live streaming deal with the platform, DLive announced Tuesday. His YouTube channel has 93.7 million subscribers at press time, with his most recent video racking up 4 million views in less than 24 hours. Read more.


Blockchain Could Be Used By At Least 50% Of All Companies Within 3 Years, Oracle Exec Says

Ten years after the idea of blockchain was conceived, the technology that underpins cryptocurrencies is starting to be used by large enterprises as a secure way to track goods. But mass utilization is still years away, and it won't be for every company, said a panel of blockchain executives. Read more.


Goldman Sachs CEO Refutes Bank Ever Had Plans to Open Crypto Trading Desk

Goldman Sachs CEO David Solomon has categorically refuted that the bank ever had any plans to open a crypto trading desk and stated that earlier media reports suggesting otherwise were incorrect.  Solomon made his remarks before the United States House of Representatives Financial Services Committee on April 10, during a hearing entitled “Holding Megabanks Accountable: A Review of Global Systemically Important Banks 10 years after the Financial Crisis.” Read more.


Facebook Reportedly Raising Up to $1 Billion for Its Big Move Into Crypto

Nathaniel Popper, technology reporter at the New York Times, tells his 37,700 Twitter followers that, according to his sources, Facebook is targeting big sums from outside investors for its cryptocurrency initiative. Read more.