“This year FinanceMalta already organized two BlockFinance events in Malta, with the first one discussing the application of distributed ledger technology (DLT), and another one on the AML [anti-money laundering] challenges relating to such innovative technologies. This time around we are putting the spotlight on STOs and the various aspects of this investment tool,” said Ivan Grech, Chief Operations Officer at FinanceMalta.

An STO is very similar to an initial coin offering (ICO): they are essentially tools used by blockchain and DLT startups for attracting funding for their ventures. In the case of ICOs, cryptocurrencies are offered, while in the case STOs, tokens are provided in exchange for investment.

Tokens differ from coins in that they fall under the status of securities. They are linked to an underlying investment asset in a way like stocks, bonds, real estate investment trusts (REIT) or other funds.

The BlockFinance event will cover various topics such as understanding STOs and the future of investing via new tokenised business models, the compliance element of STOs, as well as the opportunities, challenges and solutions in adopting STOs.

A key topic of the event will be the Malta Financial Services Authority’s (MFSA) consultation and feedback on STOs and the way forward as a result of this. One key presentation will focus on the advantages that blockchain technology applied to Corporate Governance could bring to companies in Malta, in particular with respect to the automation of tasks, documents and validations of legally binding actions.

FinanceMalta is a non-profit public-private initiative aiming to promote Malta as an international business and financial centre internationally. “It brings together and harnesses the resources of the industry and government, to ensure Malta maintains a modern and effective legal, regulatory and fiscal framework in which the financial services sector can continue to grow and prosper,” the press statement by FinanceMalta says.

The post FinanceMalta organises BlockFinance breakfast first appeared on The Malta Business Weekly.

TokenMarket says it is now closer to exiting the UK Financial Conduct Authority (FCA) Sandbox which it has operated in since 2018. In doing so, the company intends to become a fully-regulated investment platform and authorised to help innovative and growing businesses raise capital through STOs.

TokenMarket CEO Ransu Salovaara and CTO Mikko Ohtamaa agreed that reaction from their peers has been “incredible”, chich reinforces them in their belief that their work in the tokenisation and blockchain space “has all been worth it”. With a growing pipeline of upcoming STOs, they look forward to introducing TokenMarket to a wider audience.

TokenMarket wanted to show that tokenised equity could be written to the blockchain and democratise investment opportunities for all investor types, starting with its own STO, the press statement sent to BM says.

“Our goal has always been to give equal access to all investor types. With our work in the FCA sandbox now almost over, and our demonstration of placing tokenised equity on the blockchain, we are one step closer to bringing the next generation of disruptive businesses to our investment community,” Mr Ohtamaa added.

The post TokenMarket raises £240,000 through STO, above goal first appeared on The Malta Business Weekly.

TokenMarket says the STO, which is open to professional and self-certified investors, marks the first of its kind where the shares issued are represented as blockchain based digital tokens. The crowdfunding campaign is expected to take place within the Financial Conduct Authority’s (FCA) Regulatory Sandbox.

Over the last two years, TokenMarket has assisted innovative blockchain companies in raising more than £240m.

“There is a huge unmet demand for growth finance, particularly amongst tech startups. Europe has markedly failed to match the prowess of the US in nurturing technology champions that drive innovation, economic growth and job creation,” says Ransu Salovaara, TokenMarket CEO and Co-Founder. “At the same time, everyday investors are often shut off from exciting investment opportunities. We firmly believe that STOs will help to solve this dilemma by democratising access to finance while providing the same investor protections as traditional securities,” he adds.

TokenMarket garnered £9m revenue in the past financial year. Up to this point, the company says it has been self-funded in its entirety. TokenMarket plans to use the additional funding to fully capitalise on the expected £77bn a year market of startup and growth company financing.

“Over the past 12 months, our team has been working on tokenised securities. We have designed and built an open-source platform that focuses on market transparency and security. We believe we have constructed a fully compliant yet non-custodial, blockchain-based platform that helps early-stage companies raise funding while potentially giving investors earlier liquidity,” says Mikko Ohtamaa, TokenMarket CTO and Co-Founder.

The TokenMarket platform is planning to expand with the inclusion of its security token exchanges in the European Union and Dubai.

The TokenMarket STO launches in two stages; a private placement for professional investors which is now open, and a tokenised equity crowdfunding campaign for self-certified investors which is expected to take place in March 2019.

TokenMarket is a global investment platform with offices in London, Gibraltar, Helsinki, Malta and Singapore.

Business Malta investment disclaimer: There are risks associated with investing in (crypto)securities. Any investment involves the risk of loss, and accounting for such risks is the investor’s responsibility. The content above is not an endorsement, but serves informational purposes only; it does not constitute a solicitation. It is not investment advice. The editorial staff of Business Malta cannot be held accountable for investment activities carried out by the publication’s readers.

The post TokenMarket launches tokenised equity crowdfunding campaign in UK first appeared on The Malta Business Weekly.