InsurTech Assurely has partnered with PrefLogic to advance the digital securities market.
PrefLogic will integrate Assurely’s TigerMark insurance policy. This means that security token issuers will be protected from covered investor complaints and legal attacks while investors will have the ability to leverage the company’s claims process in pursuit of due process.
PrefLogic is a security issuance provider in the digital asset sector.
Todd Wier, PrefLogic’s Founder, explains that change, such as digital securities, always courts a level of uneasiness.
“We believe an insurance policy that can provide benefit to both the issuer and investor would help to ease doubts surrounding this modern investment instrument,” says Wier. “Security tokens are a powerful instrument that SME’s and individuals can use to gain access to the capital they need. Integrating insurance into the transaction should promote investor confidence and further evolve the space.”
PrefLogic’s security token issuance software is designed to enable SME’s and individuals seeking to offer digital securities to raise growth capital. Concurrently, Assurely’s TigerMark insurance policy will work in tandem to benefit both issuing companies and their investors participating in security token offerings. Thus the combination should help mitigate issuance risk.
PrefLogic’s “STO Wizard” is expected to go live later this year, with Assurely’s insurance component available at the issuer’s option.