The creation of the security token industry is the current focus of the leaders in the blockchain industry and NASDAQ hedge fund managers.
In an attempt to create a lucrative investment opportunity, “Leaseum partners, a New York-based real estate fund, has chosen the Tokeny platform to launch a $250 million blockchain-enabled real estate fund.”
Jeff Brown, an Angel Investor, stated, “One executive I spoke with expects security tokens to bring 10% of global GDP – roughly $8 trillion – into the blockchain ecosystem by 2024. That represents growth of 28X.”
Jeff is an insider in several cryptocurrency and blockchain based projects. He attends several events in New York that is exclusively based on the blockchain.
While the mainstream media refrains from telling a lot about the future of cryptocurrencies, the insiders of the crypto markets are preparing to make profits in the come years by concentrating on security tokens.
An alternative market briefing reported, “JCE Capital Management has announced the launch of its $100m crypto-focused hedge fund JCE-CM2; Leaseum Partners is raising a $250m fund to make core-plus acquisitions around the U.S.; Pictet Asset Management has launched a new fund, Pictet-SmartCity, to invest in new technologies aimed at meeting the challenges posed by rapid global urbanization; Szesny-Seifert Capital debuts boutique CTA fund; The world’s first public bond – bond-i (blockchain operated new debt instrument) – created and managed using the only blockchain exceeds market expectations, said Commonwealth Bank of Australia (CBA).”
While token sellers seek a complete registration with the SEC, there are a very few companies who follow the path. Full SEC registration has been described as “logistical, legal and financial quagmire.”
Companies will have to seek SEC exemption. Regulation D permits the sale to accredited US investors. It is essential to have the Regulation A permit if the company should sell to non-accredited US investors.
The first company that was approved to offer Security tokens under Regulation A is the Securities Group Tripoint Global. With extra paperwork, they can sell to “non-accredited US investors.”
However, for now, security tokens are being marketed to a mix of non-accredited US investors and accredited US investors.
The crypto token market is currently being tailored in a way to suit both the crypto and the regular currency market.
In a NASDAQ blog, Rohit Kulkarni’s post published, “If 2017 marked the emergence of initial coin offerings and 2018 has been the year of regulatory uncertainty around those ICOs, then 2019 will belong to the security token. So far, security token offerings make up only a relatively small