MARKET Protocol

MARKET Protocol

Building the next generation of safe derivatives

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Security Type
Debt/Note
Categories
Other
Min Investment
$1,000
Location
Boulder, CO
Offering Date
October 23, 2019
Expected Close Date
January 21, 2020
Target Raise
$350.00K-$1.50M
Deal Notes

Round type: Seed Round size: US $1,500,000 Minimum investment: US $1,000 Target Minimum: US $350,000 Security Type: Tiered Preferred Equity  (SWIFT) Purchase Price: US $0.6734 no later than Oct 25, 2019 (20.0% discount) US $0.7576 no later than Nov 8, 2019 (10.0% discount) US $0.8418 Final Pre-money valuation: US $11,380,900 Option pool: 10.0% Liquidation preference: 1.0x Closing conditions: While MARKET Protocol has set an overall target minimum of US $350,000 for the round, MARKET Protocol must raise at least US $25,000 of that amount through the Regulation CF portion of their raise before being able to conduct a close on any investments below $20,000. For further information please refer to MARKET Protocol's Form C. Regulation CF cap: While MARKET Protocol is offering up to US $1,500,000 worth of securities in its Seed, only up to US $1,070,000 of that amount may be raised through Regulation CF. Transfer restrictions: Securities issued through Regulation CF have a one year restriction on transfer from the date of purchase (except to certain qualified parties as specified under Section 4(a)(6) of the Securities Act of 1933), after which they become freely transferable. While securities issued through Regulation D are similarly considered "restricted securities" and investors must hold their securities indefinitely unless they are registered with the SEC and qualified by state authorities, or an exemption from such registration and qualification requirements is available. Raised to date: US $88,999 US $5,999 (under Reg CF only)

Valuation
$11,380,900

Company Description

Building the next generation of safe derivativesProblem: The crypto industry is large and growing everyday; however, it remains underdeveloped.Exchanges like Coinbase and Binance have built massive businesses trading cryptocurrencies, but there are still limited opportunities for trading futures and other derivatives - a much larger $10 trillion industry. The options that do exist need to be better. If Coinbase is equivalent to the New York Stock Exchange, who is the next big derivatives exchange?Solution: Leverage blockchain technology to build the next generation of safe derivatives.The crypto industry is going to be huge. We built the tools to take us there. MARKET Protocol uses blockchain technology to bring new and traditional derivatives to the crypto industry. It is a platform to create digital assets (derivatives) safer and more securely. Anyone can use MARKET Protocol to design cool and unique instruments, whether for just a few traders or for a whole industry.

Perks

$1,500 - Swag bag including a T-shirt, and sticker pack
$5,000 - Above, plus a MARKET Protocol hoodie, KeepKey hardware wallet, (invest $3,000 by November 8th to receive this perk)
$25,000 - Above and quarterly calls with the founders to discuss project updates and the state of the industry
$100,000 - Above plus meet and greet with Founders in Los Angeles or Denver, hotel and domestic airfare included
It is advised that you consult a tax professional to fully understand any potential tax implications of receiving investor perks before making an investment.

Key Deal Facts

Previously raised $2+ million from investors including PreAngel, Zero G Capital, and Wyre Capital
Backed by crypto thought leaders Erik Voorhees (Founder & CEO of ShapeShift) and Andrew Keys (Co-Founder of ConsenSys Capital)
Accomplished team of derivatives professionals and engineers
Recently launched with over 600 accounts, $700,000+ in notional value traded
Used in the 2019 ETH Berlin Hackathon winning project - LSDai

Use of Proceeds

General Expenses, Legal Expenses, Payroll & Benefits, Marketing, Contract Staff

Management Team / Advisory Board Bios

Seth Rubin
CEO
Since starting his career as a derivatives trader in 2005, Seth has directed multiple algorithmic trading desks, operated as a registered market maker, and launched numerous products. In 2013 he co-founded the algorithmic trading group BRE Trading, where he focused on global short term interest rates, as well as a number of commodity and equity products. He was also responsible for building and maintaining the firm’s exchange relationships. In 2015 Seth began trading cryptocurrencies, and soon afterwards he and his partners successfully developed and implemented a number of arbitrage and relative-value crypto strategies. Seth has a deep understanding of centralized and decentralized trading and exchange infrastructures, and he now leverages this experience to develop and execute the practical strategies incorporated into MARKET Protocol.

Collins Brown
COO
Collins has over 13 years of experience trading derivatives on exchanges around the world. He began trading U.S. government bonds, U.S. Treasury futures, Eurodollars, and international interest rates at Transmarket Group in 2005, eventually expanding into metals, soft commodities, and currencies in 2010. In 2013 he co-founded BRE Trading with a focus on automated and quantitative trading strategies. While trading full time at BRE, he led the firm’s development team, building flexible, low latency, proprietary trading systems to implement the firm’s strategies. As an experienced trader, Collins understands the complex demands of exchanges and traders, and he believes MARKET Protocol is the bright future of the global derivatives industry.

Deal Notes

Round type: Seed Round size: US $1,500,000 Minimum investment: US $1,000 Target Minimum: US $350,000 Security Type: Tiered Preferred Equity  (SWIFT) Purchase Price: US $0.6734 no later than Oct 25, 2019 (20.0% discount) US $0.7576 no later than Nov 8, 2019 (10.0% discount) US $0.8418 Final Pre-money valuation: US $11,380,900 Option pool: 10.0% Liquidation preference: 1.0x Closing conditions: While MARKET Protocol has set an overall target minimum of US $350,000 for the round, MARKET Protocol must raise at least US $25,000 of that amount through the Regulation CF portion of their raise before being able to conduct a close on any investments below $20,000. For further information please refer to MARKET Protocol's Form C. Regulation CF cap: While MARKET Protocol is offering up to US $1,500,000 worth of securities in its Seed, only up to US $1,070,000 of that amount may be raised through Regulation CF. Transfer restrictions: Securities issued through Regulation CF have a one year restriction on transfer from the date of purchase (except to certain qualified parties as specified under Section 4(a)(6) of the Securities Act of 1933), after which they become freely transferable. While securities issued through Regulation D are similarly considered "restricted securities" and investors must hold their securities indefinitely unless they are registered with the SEC and qualified by state authorities, or an exemption from such registration and qualification requirements is available. Raised to date: US $88,999 US $5,999 (under Reg CF only)

Amount Raised : $120,802
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Security Description

A note is a financial security that generally has a longer term than a bill but a shorter term than a bond.

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