Crypto Exchange Acquires NY Broker-Dealer 🚨 This article is 6 years old...
Crypto Exchange Acquires NY Broker-Dealer
2 min read
Updated: Sep. 21, 2018 at 3:45 am UTC
Photo by ben o'bro on Unsplash
With cryptocurrency coming into the mainstream, digital assets and traditional securities are separate entities no more. Announced on June 27, Uphold digital currency exchange agreed to acquire New York-based JNK Securities Corp.
Uphold Prepares for Emerging Regulation
In a blog post released June 27, Uphold introduced its newly-formed securities division and announced the pending acquisition of New York Stock Exchange member JNK Securities Corp.
Uphold applied for approval to the Financial Industry Regulatory Authority (FINRA) for the change of ownership.
If approved by FINRA, Uphold will be able to expand its consumer base and reach a broader group of institutional investors – introducing its current digital asset offerings to new clients.
By acquiring a broker-dealer already registered under the NYSE, Uphold is enhancing its regulatory compliance with financial authorities and preparing for the future classification of ICOs as securities.
CEO at Uphold, Adrian Steckel states in the announcement:
“We have kept a close eye on statements from global regulators regarding virtual currencies and tokens and believe that many crypto assets (particularly ICO tokens) may be treated as securities in some cases.”
Plans to Establish an Alternative Trading System (ATS)
Following SEC and FINRA approval, Uphold plans to establish itself as an alternative trading system – eligible to offer the buying and selling of ICO security tokens and fractional equities to both retail and institutional investors on its platform.
It’s clear that Uphold aims to be at the forefront of tokenized securities trading and lead the ongoing movement of traditional and digital asset integration.
“This agreement furthers Uphold’s mission to enable people all over the world to hold any form of money, commodity, or utility tokens securely, and to be able to transact seamlessly.”
Founded in 2015, Uphold’s international money platform currently offers eight cryptocurrencies and over a dozen fiat currencies for transparent, frictionless conversion and exchange.
