Cryptocurrency Exchanges Invest $12.75M in American Securities Tokens Startup


November 27, 2018 | AtoZ MarketsBlockchain Capital has raised $12.75 mln during the round of Series A funding , for the new American startup, which has plans on launching new security tokens, as the media reported.

What is Securitize?

Raising money for the new startup idea never was a simple deal, especially now, as the new projects are popping up like the speed of light. However, the new American startup Securitize was among the luckiest. The aforementioned startup for securities tokens shared recently some positive news with the Cointelegraph reporters. According to the aforementioned news platform, during the round of Series A funding led by Blockchain Capital, the latter managed to raise $12.75 million.

According to the official startup’s website, Securitize is a compliance platform for issuing and managing digital securities on the blockchain, including dividends, distributions, and share buy-backs. Its innovative Digital Securities Protocol (DS Protocol) enables seamless, fully compliant trading across multiple markets simultaneously. Securitize has closed the strategic funding round ahead of the company’s plans to launch a Digital Security Offering (DSO) in 2019.

Blockchain Capital and other participants of funding round

Blockchain Capital is one of the oldest and most active venture investors in the blockchain technology sector, which has already financed 72 companies. Along with Blockchain Capital, the round also included participants like Coinbase Ventures, Global Brain, NXTP and Xpring at Ripple. Other “strategic investors” in Securitize include Donna Redel, the World Economic Forum’s former Managing Director and blockchain professor, and John Pfeffer, a former partner with global investment firm KKR, while Blockchain Capital co-founder and managing partner, Brad Stephens, is said to join Securitize’s Board of Directors, as news reports say, without specifying a date for that. In the press release, Stephens noted that Securitize’s real-time compliance solution solved a critical need “for BCAP security token.” BCAP is a token based on the Ethereum (ETH) blockchain and launched in April 2017 through an Initial Coin Offering (ICO). The Blockchain Capital is not the only strategic investor on the the digital securities market , which is worth over $7 trillion annually, according to the press release. Back in last spring, Coinbase had launched Coinbase Ventures, a fund aimed “simply to help the most compelling companies in the space to flourish,” as the Cointelegraph reported on Apr. 6. Securitize is not the first startup the Blockchain Capital helped to raise funds, since according to Cointelegraph, SFOX, a cryptocurrency trading platform, closed in August a round of Series A funding, which made $22.7 million in association with Blockchain Capital and Y Combinator among other industry giants.

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