At Digital Arts Media Network (OTCMKTS:DATI), we believe equalizing access to investment opportunities promotes the possibility for people of all economic backgrounds, rich or poor, to have an egalitarian opportunity to build wealth. Those traditionally squeezed out of the market can now leap into equity crowdfunding with both feet, sometimes for as little as $10.
Equity crowdfunding is a gateway to reconstruct socioeconomic conditions in America. We strongly believe a positive change in financial opportunities for millennials and other disenfranchised investors has the power to transform education, jobs, social services, small business success and more.
These changes will generate a positive ripple effect on the overall economy. More Americans can have the opportunity to climb social ladders and have a brighter future – college, homeownership, self-employment, life without poverty, a simple savings account and so much more. The younger generation will find their footing in entrepreneurship through support for each other in equity crowdfunding, spreading the risk and the rewards. The future looks more comfortable for many Americans because of a change in opportunity, enriching their self-worth and fostering financial dignity.
How did Americans get here?
For most people the possibility of securing equity in Facebook or Snapchat in the beginning is something that would never seem remotely possible. The U.S. government established the Securities Act of 1933 to restrict who could participate in investing, effectively dividing Americans into two categories: accredited and non-accredited investors. Those with $1 million net worth or who earned an income of $200,000 for two consecutive years were considered accredited (requirement subject to change). Since 1933, these restrictions have stopped everyday people from having the opportunity to invest in the next ‘big idea’ and stopped startups from raising capital by selling shares to everyday investors.
At Digital Arts, we appreciate that most Americans can’t afford to invest $50,000 – $150,000 in the stock market or in a private startup (most of us are in that boat). For perspective, accredited investors account for roughly one percent of the U.S. population. Furthermore, even for those who may possibly have means to afford to put $50,000 – $150,000 in a single private investment, the majority of the population lacks access to the most lucrative and highly vetted startup opportunities. For the most part, the system has been rigged against most Americans until the implementation of Title lll of the JOBS Act.
Equity crowdfunding is personal for us because it not only creates another path for startups to receive funding, but most important, it gives the everyday American the ability to participate in the private equity market.
Our inherent belief is that everyone in America has the right and freedom to responsibly and legitimately pursue and attain wealth. Shareholders and investors, rich or poor – accredited or non-accredited, can both flourish in the same marketplace at the same time.
At Digital Arts Media Network, everyone has the opportunity to become part of something special – we are not luck dependent. Our investor ecosystem includes very experienced angel and early-stage investors. Imagine being able to invest early alongside other major investors, in a product or service you use everyday; like your favorite mobile app or coffee shop. You like it so much that you invest a few dollars in it. Once you’ve invested, you start telling everyone that you invested in this company because you like it so much. Everytime you order a coffee at your coffee shop and tell a friend about it, you’re putting money back in your own pocket and becoming an evangelist. You’ve converting your network of family, friends and coworkers and now they love your coffeeshop too. Now imagine you’ve got a massive ecosystem of people as passionate and loyal as you – that’s equity crowdfunding.
Equity crowdfunding money is loyalty money – we’re all fiercely in it together. Investors of all class, rich and poor are placed on a level playing field and moving towards the same goal. At DATI we saw the unique potential in equity crowdfunding, but we wanted to take it a step further with our Public Accelerator Incubator.
Here’s how we make it work
To attain our belief that all Americans have a right to pursue wealth, we created the Public Accelerator Incubator (PAI). With it, we set out to create a system that worked equally well for each party, at the expense of no one. Our PAI structure is designed to address the specific concerns and pain points of our three groups of stakeholders – startups, angels / early-stage investors and disenfranchised investors (specifically: microcap investors, non-accredited investors, millennials and even those accredited investors with little to no access to viable investment opportunities). The overlap in their goals allows everyone to benefit from each other’s needs. Teamwork really does make the dream work at Digital Arts Media Network.
- Startups require capital
- Angel and early-stage investors need liquidity from their private investments
- Disenfranchised Investors – everyday people, like you and I – need to be able to participate in early-stage companies, long before the IPO
Our PAI gives startups the ability to provide their angel and early-stage investors access to liquidity within 24 months, which is incredibly early.
- Angel and early-stage investors are ecstatic they aren’t required to wait the typical 5, 7, 10+ years to receive liquidity back on their investment, so they turn around and fund companies faster and more frequently.
- In return for this new method to speed up desperately needed capital investments, startups offer PAI equity in their company.
- This private equity is subsequently deposited into our basket of high-value, high-growth startups, constructing a diverse portfolio that increases in value as the valuation of each startup improves.
- Disenfranchised investors finally get the opportunity to preview startups that the experienced and successful angel and early-stage investors are funding early. The disenfranchised investor now gets to fully participate, shoulder-to-shoulder, alongside knowledgeable, affluent investors, in the ownership of high-valued, high-growth startups, through the ownership of the PAI and/or our crowdfunding venture.
As the stakeholder groups grow, this entire ecosystem thrives and flourishes. As we know from the common aphorism “a rising tide lifts all boats.” The same is true for the PAI and the financial markets of equity crowdfunding.
- Crowdfunding platform gives more startups the opportunity to raise more money from investors of every socioeconomic class.
- More successful startups completing crowdfunding, generates more equity opportunity for PAI.
- An increase in equity for PAI translates to more opportunity for more microcap investors.
- A surge in microcap investors converts to greater liquidity opportunities, faster, for those angel and early-stage investors leveraging the PAI.
- Early liquidity for angel and early-stage investors means more capital, more frequently, for more startups.
- An increase in startups, after being funded by experienced angel and early-stage investors, have the opportunity to raise their next round of capital on a crowdfunding platform.
- Rinse and repeat!
The Digital Arts Media Network Difference
The financial markets have a profound impact and effect on every American, regardless of their investor status or bank balance. We live in the land of opportunity and we’re passionate about promoting equal financial opportunities to the 300 million non-accredited investors in America who’ve previously been shut out of the market. No longer the exclusive domain of one percent of the U.S. population, democratizing access to investment capital using the PAI model, spreads wealth among everyday Americans. A more egalitarian distribution of wealth is our goal, and the primary reason why we at Digital Arts Media Network come to work everyday. When our PAI ecosystem is thriving, everyone in the DATI family prospers. This time it’s personal!
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