In the latest news cannabis culture media organization ‘High Times Holding Corp’ announced that they will be accepting Bitcoin and Ethereum along with fiat currency. High Times aim to overreach as much as they can and establish themselves as video and media powerhouse, event hosts and a dominating merchandise company. And that’s why they are looking forward to generate funds through raising IPO. For the first time, High Times is accepting successful cryptocurrencies in their public capital raise. The company’s CEO, Adam Levin accepts the use of cryptocurrencies because according to him a large group of investors exists which should not be overseen in today’s world. According to him, cryptocurrency holders are given opportunity to invest and help High Times raise more money. He said:
Cryptocurrencies have created a new investor base across the world – we’re just giving them more stable opportunities for investment.
Regarding adoption of cryptocurrencies like Bitcoin and Ethereum, he mentioned that High Times is always leading irrespective of circumstances. He quoted:
High Times has been at the forefront of popular culture for more than four decades…..Now we’re taking another step into the future, as not only one of the first cannabis-related brands to go public on the Nasdaq, but also as the first to allow Bitcoin and Ethereum as part of our public capital raise.
The company is going through Regulation A+ crowdfunding to fulfill its goal of offering shares of the company to local public. Previously, only accredited investors had rights to buy shares but later the rule was changed by the government. This regulation, Regulation A+, that comes under jobs act is another first which compels the company to abandon the procedure of ICO and instead use the traditional IPO to raise funding. Adam Levin explained that IPO rather ICO was better to let investors as well as the long time fans to own some part of High Times. He said:
Beginning with our Reg. A+ crowdfunding, we’ve been focused on giving everyone from retail investors to long-time fans more ways to own a piece of High Times. While we didn’t believe that the ICO process was the right move for our brand, it would’ve been foolish to leave this emerging investor base out as we continue to transform into a diversified media, events and merchandise giant.
High Times was founded by Tom Forcade in 1974. It has been reporting marijuana counterculture and standing for the legalization of cannabis since then. Due to its publications, people are able to understand cannabis, its culture, opportunities, restrictions, and evolution. Many people have been crediting High Times for telling them the truth about cannabis and its reality. Samir Husni, director of the Magazine Innovation Institute, thinks that High Times have established as the most prominent and powerful drug publication brand. He said:
They have top brand power. When you think marijuana, you think High Times….If they can use it effectively, they will be a powerful company. src: Marijuana Business Daily
At the moment, both cannabis and cryptocurrency are trying their best to make their way to the top. And both are facing difficulties in their respective markets due to several factors, sometimes lack of support from government and on other occasions, lack of social acceptance. But the prospect of their partnership seems bright for both of them. Recently, High Times attracted more readers and generated about $7 million from Green Rush Daily (GRD), which is cannabis-focused magazine with almost 10 million viewers. Forbes news suggest that GRD ‘guides’ sections would be dealing with cannabis and cryptocurrency related news for the readers and Culture magazine by High Times will be providing readers with blockchain and cryptocurrency knowledge.
The stakes are high and people are expecting outcomes from the collaboration of High Times and crypto world. However there’s a fact that must not be ignored due to its association in determining the success of this step taken by High Times. It’s stepping stone that a successful IPO impacts the performance and future of High Times. All the bright side discussed and horizons explored are only possible if High Times go against the odds and reach beyond ‘pipedream’ phase, stated as only a startup phase by Barrons. Barrons study shows that successful IPO is very hard to achieve and is thus limiting factor for many. Study concludes:
We studied the hundreds of mini-IPOs made under the Jumpstart Our Business Startups Act (JOBS) rule called Regulation A+. There are earnest entrepreneurs with real products. But sad to say, most Reg A+ businesses haven’t gotten beyond the startup phase known as the pipedream.
So we will have to wait at least until IPO is over to conclude what the future holds for emerging world of crypto and High Times.