Republic, whose more than 1 million users make it the largest private investment platform, raised $36 million from investors including Michael Novogratz’s Galaxy Digital, Broadhaven Ventures and Prosus NV.
New York-based Republic allows so-called non-accredited investors a chance to get in on the startup ground floor with as little as $10, and has grown by four times in the past year based on investment through its platform. The money raised in this round will help Republic build a system for its small investors to sell their stakes sooner than the eight to 10 years it usually takes for startups to return money, Chief Executive Officer Kendrick Nguyen said in an interview.
Unlike the larger capital markets that ground to a halt for a time because of the Covid-19 pandemic, “the demand on retail capital has been available throughout,” Nguyen said. “Month-on-month it has continued to grow and I think it highlights the power of retail capital.”
Republic offered a digital token in July through a pre-sale to give customers access to profit from some deals done on its platform and the token has not yet been issued or released, according to the company. Only accredited investors are able to buy those tokens and the firm is still working with the Securities and Exchange Commission to allow non-accredited investors to buy in.
The SEC requires accredited investors to meet conditions such as having a net worth of at least $1 million and an annual income of at least $200,000. Republic has offered crypto-related investments since 2017 with Nguyen pushing to bring digital currencies and blockchain projects to more people than the enthusiasts they cater to today.
Novogratz, 56, is the founder, CEO and chairman of Galaxy Digital, which was the lead investor in Republic this round. Prosus, the Internet-services company controlled by Naspers Ltd., made a strategic investment in Republic by buying the digital tokens that are known as Republic Notes, according to the firm. Naspers owns around 30% of Tencent Holdings Ltd., the Chinese creator of the messaging platform WeChat.
Nguyen said that raising capital in the public markets is in the cards for Republic, whether that’s through an initial public offering, blank-check firm or a direct listing.
“We certainly will consider and look closely at the public markets,” he said.
(Company corrects details of token in fourth paragraph.)
TORONTO – Canada’s main stock index was up more than 100 points in late-morning trading, helped by strength in base metal and utility stocks, while U.S. stock markets were mixed.
The S&P/TSX composite index was up 103.40 points at 24,542.48.
In New York, the Dow Jones industrial average was up 192.31 points at 42,932.73. The S&P 500 index was up 7.14 points at 5,822.40, while the Nasdaq composite was down 9.03 points at 18,306.56.
The Canadian dollar traded for 72.61 cents US compared with 72.44 cents US on Tuesday.
The November crude oil contract was down 71 cents at US$69.87 per barrel and the November natural gas contract was down eight cents at US$2.42 per mmBTU.
The December gold contract was up US$7.20 at US$2,686.10 an ounce and the December copper contract was up a penny at US$4.35 a pound.
This report by The Canadian Press was first published Oct. 16, 2024.
TORONTO – Canada’s main stock index was up more than 200 points in late-morning trading, while U.S. stock markets were also headed higher.
The S&P/TSX composite index was up 205.86 points at 24,508.12.
In New York, the Dow Jones industrial average was up 336.62 points at 42,790.74. The S&P 500 index was up 34.19 points at 5,814.24, while the Nasdaq composite was up 60.27 points at 18.342.32.
The Canadian dollar traded for 72.61 cents US compared with 72.71 cents US on Thursday.
The November crude oil contract was down 15 cents at US$75.70 per barrel and the November natural gas contract was down two cents at US$2.65 per mmBTU.
The December gold contract was down US$29.60 at US$2,668.90 an ounce and the December copper contract was up four cents at US$4.47 a pound.
This report by The Canadian Press was first published Oct. 11, 2024.
TORONTO – Canada’s main stock index was little changed in late-morning trading as the financial sector fell, but energy and base metal stocks moved higher.
The S&P/TSX composite index was up 0.05 of a point at 24,224.95.
In New York, the Dow Jones industrial average was down 94.31 points at 42,417.69. The S&P 500 index was down 10.91 points at 5,781.13, while the Nasdaq composite was down 29.59 points at 18,262.03.
The Canadian dollar traded for 72.71 cents US compared with 73.05 cents US on Wednesday.
The November crude oil contract was up US$1.69 at US$74.93 per barrel and the November natural gas contract was up a penny at US$2.67 per mmBTU.
The December gold contract was up US$14.70 at US$2,640.70 an ounce and the December copper contract was up two cents at US$4.42 a pound.
This report by The Canadian Press was first published Oct. 10, 2024.
