Finhaven Private Markets this week announced Canada’s first securitized Non-Fungible Token.
The Vancouver-based financial technology startup says that digital asset Stardust Music Video NFT has been securitized and fractionalized. The NFT, owned by bKREATIV Productions, is currently being offered to Canadian accredited investors through Finhaven.
“At Finhaven, we do not see things from a perspective of legacy-versus-web3 world,” explains Dohyung Kim, CEO and founder of Finhaven. “We believe that blockchain technology can improve and modernize traditional financial markets and we are building the platform for it.”
NFT trading thus far has carried regulatory, legal, ownership, and intellectual property risks, according to Kim. Securitization solves some problems and offers additional consumer protection, he notes.
Fractions of the Stardust NFT—an award-winning music video and the first in the line of eight videos forming a soundtrack for the Black Rose television series—are available to investors in increments of $1,000 for a total value of $2 million.
The Stardust NFT includes a 90% royalty stream from the Stardust Music Video, a merchandise revenue share, and an ownership share in Black Rose. Until Stardust, NFT ownership “did not include any direct revenue streams and the transactions were not conducted on regulated financial markets,” Finhaven points out.
Finhaven was founded in 2017 in Vancouver, where web3 startups are all the rave. In 2018 the BC startup raised a US$5 million Series A round led by Dunamu & Partners. Since then the company has built a capital markets platform on Distributed Ledger Technology with a goal of simplifying financial markets to drive innovation using blockchain.