Securitize first entered the cryptocurrency market as a result of support from Coinbase. However, it has come a long way since then.
The security token startup has announced the launch of a new network for referrals that will enable companies to manage and issue digital securities, according to an annoucement on April 9th.
The network, otherwise known as the “Securitize Ready Program,” is offering the services of the different partners that have joined them, which includes Rialto Trading, OpenFinance, and Coinbase Custody. It also has opportunities for services from CBlock Capital, a private investment group. This is not a complete list of all partners and Securitize has expressed interest in adding other partners in the future.
Clients for each of the included partners will have support as they create and manage their own security tokens with the support of broker-dealers, lawyers, and advisory firms. The available resources will also ensure that regulatory guidelines are met with these securities, according to Securitize.
The head of the program, Steven Lucido, noted that this program allows the partners to keep their focus on their core business, though their clients will have access to technology that expands beyond their available services. As Lucido sees it, this opportunity is a:
“win-win for both partners and the issuers they work with.”
Compliance for the platform and the digital securities protocol is completely maintained through secondary trading. The platform also makes it possible to take advantage of “automated” features, including share buy-backs, voting, and dividends. So far, Securitize has been able to help 22x, SPiCE VC, Blockchain Capital, and Augmate with their sales of digital securities.
In November, Securitize was the recipient of $13 million through a Series A funding round. At the time, the participants included Coinbase Ventures, Xpring by Ripple, OK Blockchain Capital by OKEx, and several others.
To help with the sale and tokenization of securities for firms, Securitize formed a partnership this year with OTCXN, which is a blockchain infrastructure company. The collaboration combined the securities compliance platform of Securitize with the custodial ledger system of OTCXN.