Launched on April 22, 2019, ten years ago in San Francisco, California, AngelList is a United States website for a startup. Angel investors and job seekers looking to work at startups the platform have a mission to democratize the investment process and to help a startup with their challenges. AngelList has three subsidiaries Product Hunt, Republic and Coin List. Among the Republic has gathered most attention as it aims to bring product investment beyond the Rich who can afford it to the common public and the masses.
Republic is making its main vision in abiding by the United States equity crowdfunding regulations. Most importantly it is under the supervision of the Security and Exchange Commission (SEC) and the Financial Industry Regulatory Authority (FINRA). The chief executive of Republic nuclear Kendrick Nguyen has emphasized that the main aim of the Republic is compliance and attracting entrepreneurs and investors in both financial and securities sector. For Republic inclusion is everything. Kendrick Nguyen said “For me, making sure we stay true to the mission of inclusion, is everything,” said Nguyen. “That’s why we launched Republic—to bring Silicon Valley closer to home.
There was a dilemma prevailing in the United States on whether or not Securities Law is applicable to fraud cases involving digital currency. But finally, some sort of clarity was achieved when for the first time United States District Judge Raymond Dearie indicated that United States Securities Law is applicable for prosecuting crypto fraud allegations. The District Judge Raymond Dearie dismissed the opposing council’s motion based on the argument that digital currencies did not fall under the security exchange act. This was one of a kind ruling that thrilled people in the crypto community.
In an interview to the Forbes, on the issue of legality evolving cryptocurrency, The Chief Executive of Republic clearly stated that “In a brand new industry, it’s such an interval part in productizing and navigating the ways in what appears to be a murky business and legal landscape.” He further added that: “I always thought the law was extremely relevant to a business, but I never anticipated that my legal background, particularly in capital markets and securities, would be so crucial to the business and product styles of Republic.”
On this particular ruling Kendrick Nguyen expressed his views as “I think for those individuals in the space that are selling, distributing, and/or offering tokens and ignoring U.S. securities regulation, they [obviously] need to be very careful on how far they are from overstepping into an area of complete illegality.” Republic chief executive is personally very encouraged about the ruling and believes that this is how the things should work, everything should come under proper law regulation.
Republic is a platform that wants to incentivize its users towards investment. They want their users to engage completely with the companies they are investing in. Republic itself is taking such steps to ensure that this happens. Republic itself invests in each company that it hosts. With the token of Republic, (as and when it is launched) a SAFT-EST (Simple Agreement for Future Equity and Security Tokens) investors can have the choice to take their tokens or get shares with the company. The investors can get up to 20% of their investment in equity. Also in case if the Republic is unable to launch its token investors will be left with a simple agreement for future equity shares that would be convertible into equity. That is precisely what “Republic” is all about to engage its users and investors in what they invest, being inclusive and ensure that they do all this in compliance with rules and regulations of the Regulators and Security and Exchange Commission (SEC).
In any technology-related industry like Artificial Intelligence (A.I) and especially “blockchain” technology, it is absolutely necessary to take the community along with so that they evolve every bit along as the new technology evolves. The place of community is very important. Attention should be made towards the community because there are a number of bad actors playing in the market ready to extort people for their personal gains so the good actors need to make sure that the community is not exploited. Republic is not aware of this concept and takes this into special consideration. They believe that any kind of investment especially in regard to that of cryptocurrency which is based on third party intermediaries trust is necessary on the part of the people.
AngelList as a platform and also Republic as a platform wants their entrepreneurs and investors to have full conviction, faith, trust and knowledge in every investment they make. The entrepreneurs and investors should be fully engaged with the company they invest in. Full engagement entails trust and law abidance and hence it enables inclusivity and that is all that Republic stands for.