Austria based investment crowdfunding platform Conda has claimed to have completed the “first digitalization of shares of an Austrian stock corporation.”
Conda says it has linked the registered shares issued by Conda AG with digital tokens and transferred these shares to the existing shareholders of the company. Each token represents one no par value share. When a token is transferred from one shareholder to another, an immutable entry in the blockchain is created and an entry is then made in the share register of the company.
The company says that from a legal standpoint, the transaction was challenging because the question of the admissibility of the segmentation of registered shares in the form of tokens is new and there are no guidelines on the legal implementation of the “digitization” of shares.
Conda is a crowdfunding platform, as well as a white label service, based in Vienna. The company plans a “CRWD-Network” for 2019, as the two founders, Paul Pöltner and Daniel Horak, want to set new standards for the processes and procedures in crowdfunding with security tokens.
“Together with Schönherr [lawyers], Conda has created the basis to offer crowd shares that will then become shareholders in the company, which is a big step in crowd investing and the implementation of security tokens,” said Pöltner.
Conda is not alone in its pursuit of a security token ecosystem. In Germany, the Stuttgart Stock Exchange (Gruppe Börse Stuttgart) has announced it is launching infrastructure necessary to trade and manage digital assets. Berlin based Neufund is positioned to be an end to end primary issuance platform for security tokens in partnership with Binance & Malta Stock Exchange.
In the US, there are numerous platforms seeking to issue, manage, and trade, securities on blockchain.
Conda expects to issue security tokens by using blockchain in a pan-European manner thus allowing entrepreneurs the opportunity to present their crowdfunding campaign online across multiple platforms and across borders. Conda continues to offer tokens via an initial coin offering. Since 2013, Conda has raised over €20 million for 100+ projects.