“This means that companies that have raised capital on Republic’s retail investment platform or from Republic Capital (our venture arm) become part of the Note portfolio,” Shack said.
Any users who purchase the Republic Note are entitled to hold a share of the dividend pool that grows when a Republic portfolio company has a profitable exit event.
Aside from financial incentives, Republic Note holders will also have access to community benefits, Shack said.
“Earlier this month, we held a Note-gated community-only event at Republic’s NYC HQ office, and there are plans for other Note-gated experiences at events like SXSW, ETH Denver, etc,” he said.
The Note has received over $30 million in pre-sale participation from early investors and users, including Naspers, Binance, and the Avalanche Foundation’s Vista program. Beyond the pre-sale round, an open round with limited availabilities was also open to early Republic users, where an estimated 5,000 investors have already participated.
What’s next?
Shack explains that its decision to launch the Republic Note on Avalanche is aligned with the company’s technical strategy, noting that the company continues to hold a close relationship with Algorand, but Avalanche’s flexibility and customization were necessary for taking the Note to the “next phase of growth” — including a specified subnet that is planned for next year.
“This step was focused on enhancing the asset’s scalability as the global community of Note-holders grows and its adaptability to and compliance with a dynamic regulatory environment,” he said.
The Note will be the blueprint for Republic as it continues to look into providing ways for companies and institutions to integrate blockchain technology into their business models, Shack explains.
“Republic has always been committed to unlocking private markets, making them accessible to everyone, everywhere,” he said.