Hoping to re-shape crowdfunding, the Startup Stock Exchanged announced it has successfully evolved the concept of the fundraising method by combining the social aprects of it with the security, liquidity and control of a regulated securities exchange.
The Startup Stock Exchange regulates marketplaces and allows investors of any level to buy public shares of startups and small and medium-sized enterprises (SMEs). This allows these companies to raise the investment equity it needs from a pool of international private and institutional investors.
CEO and co-founder of the Startup Stock Exchange, Ian Haet stated,
“Investors seeking equity in a company must have security in their investment, liquidity in the equity they receive and control over their investment. Currently equity crowdfunding platforms do not provide any of these items. That is why the Startup Stock Exhange is the evolution of crowdfunding.”
He continued, “We have moved crowdfunding beyond its social roots to provide both investors and companies with the investment principals they require.”
According to a recent press release, the Startup Stock Exchanges addresses the key principles that crowdfunding misses to better service investors, which include security, liquidity, and control. One company that believes in and supports Startup Stock Exchange is NXTP Labs, which is Latin America’s leading seed fund accelerator.
Co-founder and director of NXTP Labs, Gonzalo Costa stated, “At NXTP Labs, we believe in the power of crowdfunding and crowdsourcing as a way to democratize access for startups and investors. Not only are they are great way of democratizing access to financing and investments for startups, but also a way to facilitate investors to find the best investment opportunities.”
“We expect that Startup Stock Exchange will become a powerful tool for the entrepreneurship ecosystem in the region,” he added.