A cryptocurrency project previously sanctioned by the Securities and Exchange Commission (SEC) is the sale of a property that it intended to use as a cannabis co-working space.
The firm, ParagonCoin, revealed the news in a filing with the SEC late last month, stating that although it had been planned that its native PRG token could be used by marijuana from the startup industry to pay the rent for the office Shared, space, property is now under contract for sale.
ParagonCoin has put a $ 4.2 million price tag on the space, which was purchased for $ 3.75 million through a $ 2.45 million loan and surplus cash. The total amount paid for the property was $ 4.02 million as of May 2018, including interest.
The company said in the presentation:
"At the moment, it does not intend to renew, improve or develop other properties. Currently there is no intention of making more real estate investments or acquiring any interest in the real estate sector and do not intend to make investments in real estate mortgages.
ParagonCoin explained that they now focus on the continuous development of their blockchain "track and trace" software product for use in the cannabis business and, potentially, other industries. Transactions in the system are paid with PRGs.
Last November, the commission agreed to register the securities chips after the firm resolved charges related to its 2017 ICO. The firm raised $ 12 million in the sale in order to "develop and implement its business plan to add blockchain technology to the cannabis industry and work toward the legalization of cannabis."
However, the regulator said that the starter must have registered their chips as the offer of securities, and that they do not qualify for a registration exemption. As a result, ParagonCoin was forced to indemnify investors, as well as file the periodic reports to the SEC and pay a fine of $ 250,000.
The token is currently trading at around $ 0.11, according to data from CoinMarketCap.
Cannabis image through Shutterstock