Spackman Entertainment Group on Monday said it plans to launch its own Korean entertainment utility tokens (K Coins) through an initial coin offering ("ICO").
The Korean entertainment production group said K Coins would grant token holders future access to products and services originating from Spackman, including but not limited to merchandise or premium content or events related to hit movies and dramas produced by the Group.
ICOs allow companies founded on cryptocurrency technologies such as blockchain to quickly raise capital by issuing virtual tokens to investors. Such offerings have become more common in the past year.
In addition, the company said it intends to partner with its unit Spackman Media Group to allow K Coins to be used towards the participation and/or purchase of artist-based projects, such as photography works, fan meetings, concerts and merchandise.
"Blockchain technology is an innovative approach to leverage our content and talent management platform," Richard Lee, Chief Executive Officer of Spackman Entertainment said in a statement.
Spackman said it will seek professional advice from qualified legal practitioners to ensure that the proposed ICO is in compliance with all applicable laws, rules and regulations in Singapore, including legislation for combating money laundering and terrorism financing.
The proposed ICO is still at a preliminary stage of discussions, the company said.