Headphone Manufacturer Planning USD 300 Million ICO
Monster Products, an American company that manufactures and markets about 6,000 products, but is best known for headphones, is planning a USD 300 million initial coin offering (ICO) that may turn the company around from a downward spiral.
According to a filing with the US Securities and Exchange Commission, the company is planning to sell "monster money tokens" to build the "Monster Money Network," a new e-commerce site for selling its products (and potentially those of other companies) online.
The filing states, “We plan to integrate the Ethereum blockchain technology to our E-commerce website to create the new ecosystem, namely Monster Money Network where consumers may use either MMNY Tokens or fiat currencies to purchase Monster products and services."
The company intends to utilize the blockchain technology to its marketing, accounting and audit, internal control and shipping management functions. "We believe the blockchain innovation will bring disruptive advancement to our E-commerce and business operation systems," the company stressed.
There will be a three-stage process for the product. In the first, it will simply be a payments system, using an ERC-20 standard token. In the next stage, it will lower or eliminate transaction costs by enabling microtransactions off-chain. In the third and final stage, it will transition to its own blockchain.
Monster has seen its share of money problems recently: at the end of last year, it had a net loss of USD 26.7 million, but it has already lost another USD 19.6 million in the first quarter of 2018.