On June 3rd 2019, SWARM— a non-profit focused on providing the necessary infrastructure for compliant security tokens— announced the launch of a new platform. Available services include compliant fundraising and security token issuance, for free.
SWARM’s Security Token Issuance Platform Explained
SWARM has built a new security token issuance platform, which is live as of today.
Notably, the platform allows users to tokenize securities for free.
According to SWARM co-founder Philipp Pieper,
“Today we launch the latest technological incarnation of our mission to make investment markets more trustworthy and accessible to all. Our experience in the 18 months since launching and operating our blockchain for digital securities indicated that issuers needed a higher degree of flexibility and customization than what the market had to offer. At the same time, users were facing usability issues combined with high fees, presenting barriers for issuers and users to enter a very nascent market. As a result we were able to build an infrastructure that offers state of the art issuance, onboarding, and custody – and made it entirely free. We believe this will contribute to bringing a swath of opportunities to the market, and start to deliver on the long promised potential of STOs.”
The new issuance capability, along with SWARM’s Market Access Protocol (MAP), enable users to tokenize securities in a compliant manner on numerous blockchains, including Ethereum, Stellar, and Tron.
SWARM’s platform also accepts a wide range of cryptocurrencies, as well as fiat.
Security Tokens and SWARM
Tokenized securities can include assets such as equity, investment funds, real estate, fine art, and others.
SWARM already has two funds launched on its platform— Resolute Fund, a U.S.-based real estate fund, and INDX, a U.K.-based passive income fund.
Resolute Fund founder and CEO Andy Strott said his firm chose SWARM because of its lack of fees and ease-of-use:
“SWARM’s no fee model and process make issuing a digital security feasible and efficient. First time funds, and even established fund managers like us, are now able to take advantage of the benefits of tokenization and offer their unique investments to a much wider network of investors.”
According to the announcement, additional self-service tools will be available on the new platform in the near future.
What do you think about SWARM’s no fee model for security token issuance? We’d like to know what you think in the comments section below.
Image courtesy of SWARM.