Stax Announces West Coast Aquaculture Group To Conduct Its First IPO, Accepts Virtual Currency As Pa
Stax, the Australian crypto-friendly capital-raising platform, has announced that its client West Coast Aquaculture Group (WCA) will be conducting the country’s first initial public offering that accepts a virtual currency as payment.
It has been reported that investors participating in WCA’s offering can purchase equity in the company using Tether (USDT) or Australian dollars. USDT was chosen over Bitcoin (BTC) and Ether (ETH) due to its price stability.
Kenny Lee, the CEO of Stax, emphasized that stablecoins offer the benefits of cryptocurrency without the volatility of other digital assets.
“The acceptance of USDT in an IPO is a transformative move in Australia and a significant step forward for cryptocurrency adoption in general. It paves the way for the future of capital markets down under.”
However, Lee noted that Stax is considering support for additional stablecoins in future.
As per the report, WCA operates a large marine farm in Langkawi, Malaysia, where it primarily produces fresh Grouper fish for wholesale and retail customers in Singapore, Hong Kong, and Malaysia.
In an Australian first, investors can purchase equity in West Coast Aquaculture Group using USDT, or Aussie dollars. https://t.co/t656qAkFg7 — Cointelegraph (@Cointelegraph) October 29, 2020
The capital raised will be used fund expansions including the purchase of new hatchery and nursery facilities.
WCA is offering between 10 million and 14 million shares at $0.50 each, representing between 8.78% and 11.87% of the total available, as the minimum target is $5 million. After the raise, WCA’s plans for its shares to float on the Sydney Stock Exchange, with the shares expected to commence trading near November 19.
Thus, Michael Go, the Chief Executive of SSX, applauded Stax for facilitating a capital raise supporting USDT by stating:
“This is a first, and historic development in the Australian market which will dictate the future of capital raising, particularly for growth companies.”