The manufacturer of video games, Atari Group, announced in a press release on its website on March 10 that it will conduct an initial coin offering/ ICO/, as well as add a crypto currency casino version to its already existing casino products.
The company that was founded back in 1972 and is currently owned by the French publisher, Atari SA, is listed on NYSE Euronext Paris, has a market cap of just under $50 million and ambitions related to block-chain technology and crypto currencies since 2018.
First Project Cancelled
Two years ago, the Group partnered with Infinity Networks Ltd /INL/ for the purpose of developing a block-chain project consisting of a crypto currency /Atari Token/ and a decentralized platform for all forms of digital entertainment ranging from video games to music and films. However, the project stalled and both parties agreed to terminate the deal.
New Partner, New Hopes
Having regained back its rights, Atari is now initiating the same project with another partner, though, ICICB Group, and the ICO will start this month and private sales will run until end of September, when there will be a public sale. Atari will be entitled to 35% of the proceeds from the sale of its digital token and will facilitate the liquidity for the newly developed crypto currency by registering it to the main crypto currency exchange platforms.
The Atari Token will be used in the crypto currency online casino offered by the company on its website that is expected to launch around the date of the public sale. Atari’s partner, ICICB, was granted a non-exclusive license to run the casino, and the latter will offer Atari’s most famous games, among which Rollercoaster Tycoon, Missile Command, Asteroids and Centipede, names that are relatively unknown to the contemporary gamer. Profits from the casino operations will be equally split between the two parties.
Own Coin Project, Too
The interest of the Atari Group in the possibilities presented by the block-chain technology and crypto currencies does not end with the Atari Token, though, as the group will launch a second project, Pong Token, named after one of its popular games dating back to the first days of the company. The Pong Token will be used for local applications in Kenya related to the company’s operator license there.
In another press release from March 17, Atari Group informed that it completed an increase to its capital, offering shares with preferential subscription rights and managing to sell 91% of the shares, amounting to €3.26 million /appr. $3.6 million/.
“This capital increase is part of the growth strategy of the Group and its objective is to finance the launch of new games and at the same time it will allow to strengthen the marketing budget allocated to the Atari VCS.”
It will be interesting to observe whether the Group’s initial plans will continue along the initial trajectory or will require adaptation within the current economic environment relating to the restrictions imposed due to the coronavirus spread.