Nick Chong · 1 week ago · 2 min read · Insights via Grayscale Investments
Issuance Develops New Platform for Digital Security Offerings
Digital security marketing platform Issuance recently revealed the development of a new platform that will give the evergrowing supply of digital security offerings (DSOs) direct access to institutional and retail investors.
Issuance is a marketing platform that connects digital securities issuers with verified investors. Its latest venture will offer a score of benefits to its investors–including compensation and early access to exclusive deals–with the aim of incentivizing investors to authenticate their identity, share details surrounding their investment profile and engage with DSO issuers.
What is a Digital Security Offering?
To better understand Issuance’s latest move, it is important to know exactly what a digital security is. Digital securities, or security tokens, as they’re more commonly known, are units of ownership in a tradable asset managed by the blockchain.
So how are digital securities different? Well, they allow fractional ownership, increased liquidity, the breaking of capital controls and a free market.
Fractional ownership, however, is a key piece of the puzzle as well as the reason many people are looking to invest. For example, if you wanted to purchase a $100 stock share and you only had $50, you couldn’t buy; however, by acquiring a digital security, you could own 50 percent of said share. Through the magic of blockchain, and in theory, the purchase would be executed quickly.
According to Darren Marble, CEO of Issuance:
“We know that digital securities are the next mega-trend in capital markets, and our experience in regulated markets tells us that deal marketing will be the single biggest challenge for any DSO issuer. Our vision is for Issuance to be the leading platform connecting DSO issuers with investors.”
Listing with Open Finance Network
Additionally, Issuance has established a listing agreement with the Open Finance Network, a U.S.-based regulated digital securities trading platform.
Under the terms of the agreement, the two companies will work together to launch the DSO on Open Finance Network’s platform.
Juan M. Hernandez, CEO of OpenFinance Network, said:
“We are excited to work with a team that has been active in the alternative asset industry for so long. We look forward to collaborating with Issuance in the DSO space.”
You can learn more about Issuance here.