United States-based film producer Ryan Kavanaugh’s Proxima Media has unveiled a $100 million investment for a cryptocurrency-based film funding tool, entertainment industry news outlet TheWrap reported on May 23.
Per the report, Proxima Media — which Kavanaugh founded and owns — announced plans for a new crypto-enabled financing tool for film, TV, music and other intellectual property-driven content dubbed Proxicoin.
Proxima reportedly received the investment from garment production company Central Wealth Group and venture capital fund Step Ventures.
Proxicoin reportedly plans to issue Ethereum-based security tokens that allow holders to invest in movies and TV shows. The company said that the token has already been built and audited, and that a deal with Malaysia-based Fusang Exchange has been set to launch it. Vincent Tse, CEO of Hong Kong-based Step Ventures commented on the development:
“Proxicoin makes a highly sought-after financial product available to many individual and smaller investors.”
Tse also noted that films are an asset class traditionally uncorrelated to capital markets and are sought-after among large hedge funds and banks. Furthermore, TheWrap claims that Proxicoin holders will also be partial owners of a new exchange for financing entertainment projects called Entertainment Stock X (ESX).
According to TheWrap, deals for listing over 30 movies are already in place. Kavanaugh commented on the initiative:
“This exchange will give ordinary consumers worldwide access to investments in their favorite movies, something they love, in a way that was previously only available to a limited few.”
Kavanaugh is also an executive at Warner Brothers, and has produced several films, including “The Social Network,” western “3:10 to Yuma,” and “Mamma Mia!.”
As Cointelegraph reported in October last year, U.S. actor and producer Johnny Depp is partnered with crypto-powered social entertainment platform TaTaTu.