The Swiss company Timeless Luxury Group, which specialises in luxury holidays in prestigious villas, together with the consulting firm blockchain AmaZix, has launched a security token linked to the possibility of enjoying luxury holidays.
TMLS holders are entitled to receive 40% of the earnings before taxes, depreciation and amortization (“EBTDA“) per annum from the business segments Timeless Hideaways and Timeless Resorts. As a bonus, holders of at least 1,000 TMLS will receive a discount of 20% on bookings of Timeless Hideaways or Timeless Resorts.
The launch of the security token was made through a broker accredited in the US and uses the assistance of transaction agents who are also registered with the SEC and this is particularly important at a time when, after the ICO’s judgement model on the Howey test has been issued, the SEC is focusing its attention on the issuance of non-regular tokens.
The Timeless Luxury Group started with an offer of two vacation properties with this model but plans to increase the number to 41 as well as an indefinite number of resorts and other attractions.
Michael Gossl, CEO of Timeless said:
“The business model in question has already proved successful in Austria and now we are trying to raise 100 million euros from investors through a DSO in order to expand the business to 41 potential new hideouts we have identified”.
For example, the average annual growth rate of this type of activity is seen to be growing by 4.3% until 2025, with revenues in 2017 exceeding $83 billion.
The use of security tokens can allow the combination of financing of development and promotion of the offer, thus combining two essential elements of business success, but the offer must be consistent with the regulations of the control bodies to avoid costly penalties.
From this point of view, AmaZix’s intervention has proved to be fundamental in creating a coherent formula from both a legal and a corporate point of view.
“AmaZix believes in programmable, regulatory-compliant digital securities, and we are very pleased to be associated with one of the first to strike a path in this direction”.
The token, which combines the characteristics of a promotional token with those of a utility token, also opens the way to many different solutions of integration between financial offer and finance in the world of tourism, in accordance with a strategy that can also be implemented in other sectors.