Securitize, an online platform for the issuance and management of blockchain-based securities, has been approved as a registered Transfer Agent. According to filings with the Securities and Exchange Commission, Securitize filed the Form TA-1 on July 22nd and was approved on July 31st.
By becoming a transfer agent, Securitize is approved to keep track of ownership of securities including assisting if a security certificate is lost or stolen. Transfer agents are a vital variable in the traditional securities stack and a needed step for digital securities as well. Frequently a transfer agent is a bank or trust but in this case, Securitize is Fintech platform.
According to a report in CoinDesk, Securitize co-founder Carlos Domingo had this to say on the approval:
“We can increase the amount of securities issued on the blockchain and give comfort to people that this is a regulated space. The SEC has also started approving other types of exempted securities like Reg A+ and down the road those people will need transfer agents.”
Securitize seeks to become a vital path for the digitization of securities. To date, Securitize has “tokenized” real estate, VC funds, equity and more. Digital assets facilitated by Securitize may trade on a number of platforms and ATSs including SharesPost, tZero and OpenFinance.
In July, Securitize reported it had 47 total customers with nine having already issued security tokens on Ethereum blockchain. The total value of the securities was pegged at about $200 million.
While the market is still relatively small, expectations are for all securities to become digital assets over the coming years.
The list of the nine securities issued by Securitize is as follows:
- SPiCE VC
- 22x Fund
- Blockchain Capital
- Science Blockchain
- Cityblock Capital