Securitize, a digital securities issuance platform backed by the major cryptocurrency exchange Coinbase, has announced a new tool that ensures compliance of that secondary digital securities market (P2P) transactions are regulatory compliant.
Securitize Instant Access streamlines how investors create compliant peer-to-peer transactions in private securities, according to the blog post. Securitize uses smart contracts on the Ethereum blockchain to ensure the transactions meet the required requirements.
Privately, investors create an indication of interest in selling their digital securities through a web link to initiate a transaction, which can be posted and shared across different channels. The blog post detailed further:
“Once an issuer decides to enable the Instant Access feature, any potential buyer who has KYC/AML approval from, and is registered with the issuer, can purchase the digital security from the holder if the holder has shared the transaction link with them. Only transactions that meet these KYC/AML requirements and adhere to any applicable transfer restrictions imposed by the issuer via the DS Protocol will be permitted.”
At present, Securitize is offering instant trading of private securities linked to five companies, including venture capital funds, the co-founder of the startup, and CEO Carlos Domingo told Bloomberg.
Securitize is currently offering instant trading of private securities linked to five companies, including venture capital funds, the startup’s co-founder and CEO Carlos Domingo told Bloomberg.
Securitize Investing in Real Estate Using Digital Securities
Securitize and Tokyo-based LIFULL revealed in March plans to jointly create a funding platform to invest in real estate using digital securities. The new platform aims to revitalize Japanese homes that have either fallen into disuse or have been completely abandoned.
Securitize was registered as a Transfer Agent by the United States Securities and Exchange Commission last August. The registration allows the firm to operate as an official record keeper on changes in securities ownership.
Cryptolydian reported earlier that, Coinbase Custody announced that it is launching staking support for holders of Polkadot’s DOT tokens, with the assistance of blockchain infrastructure firm Bison Trails,.