Security tokens are Crypto tokens that pass the Howey Test. These tokens usually derive value from a tradable external asset. Security tokens are subject to federal securities and regulations and hence deemed as Securitized tokens. Security Token Offering is built to increase the investors' trust to invest in various projects.
We are the market leaders in Blockchain Technology. Our adept team has extensive experience in developing a cryptocurrency, be it a utility or security tokens that have helped numerous organizations achieve their goals. Based on the distributed ledger technology, Nadcab Technology has built a cutting-edge state-of-the-art security token issuance platform.
Security tokens empower investors with financial rights such as,
The Ethereum Blockchain with ERC-20 does not suffice the requirements of the securities backed tokens. The major issues include gas prices, congestion in the networks and protocol issues. To overcome the issues, Blockchain App Factory develops customized scalable blockchain and smart contracts to fit the requirements either on Ethereum or Hyperledger or Stellar.
The following are the features :
The tokens issued are embedded with a smart contract which has the regulations of the registered jurisdiction coded. These include legal frameworks of fundraising, investor qualification rules & transaction limits on transfer.
Issuance companies face problems during secondary trading when different countries are involved. Our tokens can be traded across borders with the idea that the tokens issued are securities and must comply with securities laws. The token sales and secondary trading are developed with conditionality on the smart contract.
Blockchain ensures all the transactions including the conditional are visible to the financial regulators. The benefits of a transparent ecosystem will help the cryptocurrency market under the purview of government regulation. The process of transfer agents is being automated the entrepreneurs can raise funds in a simpler and cost-effective way.
At Blockchain App Factory, we develop a technology which allows the issuance companies to reissue tokens to the investors if the investor loses their wallet keys subject to terms and conditions. The wallet must compatible with the legal requirements and investor must have the right to reclaim his lost tokens.
An STO where each token is backed by the stock in your company so that the holders of your token have equal rights to your actual stockholders in terms of votings and dividend issuance.
If your company would rather not tokenize your stock or reserve assets, you can raise funds by issuing Security Tokens with the promise of payback to attract debt investors.
A customized end-to-end security token issuance platform for issuers and their specific target industry. Issuance companies can tokenize their Equity or Fund or any other securities such as bonds, debts, etc.
As an issuance company, you can provide Tokenization as a Service and the tokens generated has the following features :
Automated Compliance with Blockchain & Smart Contracts.
Globalized KYC/AML Verification
Multi-Ledger Security Token Development(EOS, Hyperledger or Stellar)
Automated Policy and Regulations with Smart Contracts
Non-Fungible Tokens for every Security Token Issuer
Automated reporting to Regulatory Authorities
Tokens issued have an interoperability layer for exchanges across the world
Security Token Offering was created to bring the institutional investors on board the cryptocurrency and blockchain era. Through the trustless network, blockchain will automate the legal and auditing requirements with the integration of smart contracts.
Security tokens are financial securities that are SEC-compliant. These tokens provide the investors with an array of financial rights that are written in smart contracts and the underlying tokens that are traded on the blockchain.
The tokens can be developed on your own blockchain that offers zero gas prices, enables faster transactions with no congestion of networks, and more.
That's not all, Blockchain App Factory has access to a network of investors, who would fund your project through Security Token Offering (STOs).
A proprietary voting platform built on blockchain enhances security, transparency and scalability which is stored on a distributed ledger. An ecosystem of governance is created for your companies security token structure to meet your needs. This reduces the overhead in the voting process and makes the governance of your organization easier and increase trust among your investors.
The voting rights platform ensures a peer to peer, trustless secret ballot immune to intermediary attack and exposes vote manipulation if any.
Through a off-chain layer, we ensure the scalability of the platform which can handle millions of votes per minute.
Transparency is inherent to blockchain and the stakeholder can verify every vote in the system through fully auditable codes.
There is no single point of weakness in the system with minimal risk of being compromised due to the decentralized nature of the system.
In the regulated STO, the basic requirements are KYC/AML verification reduces the risk through reputation scoring which helps issuance companies identify high-risk individuals. This helps you prove your investor's identity,risk-based authentication, and preventing identity fraud. In addition, you can also reduce money laundering activities.
KYC/AML automation help in the efficient onboarding of the investors in a quicker time frame.. In addition, you can stay ahead of the regulations through a flexible interface where you can respond to new developments with ease.
In a simple, reliable and confidential interface companies can verify their investors. When the client signs up for our STO, a simple questionnaire, few certification requirements along with the uploading of supporting documents are sent to their mail.
We take the necessary steps in a legal way to verify the accredited investors. It is important to note that the background verification must be done via professionally licensed attorneys with ethical codes maintaining confidentiality.
An Investor Prospectus is a document that will explain your project and the requirements of fundraising. Previously known as a whitepaper, the owner’s manual will consist of the following :
Letter to Investor