By Victor Marks
Written by regular Strategic Coin contributor Victor Marks, this article was originally published in the Token Reporter newsletter, which covers the world of cryptocurrency, token sales, and early stage startup funding.
The plan is simple: Neufund will help MSX, the Malta Stock Exchange’s skunkworks, create tokenized securities. Binance has agreed to carry these securities on its exchange, essentially creating a straight path to regulated tokens, at least by Maltese standards. In short, this enables Malta to become the first country to be able to offer tokens alongside traditional equities.
The plan is still in the pilot stage. This year they will begin “the public offering of tokenized equity on Neufund’s primary market which may later be tradable on Binance and other crypto exchanges pending regulatory and listing approvals” in 2018 said Neufund CEO Zoe Adamovicz.
“We are thrilled to announce the partnerships with Malta Stock Exchange and Binance, that will ensure high liquidity to equity tokens issued on Neufund. It is the first time in history, that security tokens can be offered and traded in a legally binding way. The upcoming pilot project will allow us to test the market’s reaction and realize the overall project idea in an environment with minimized risk.” said Adamovicz.
“We are delighted to welcome Neufund as our key partner in building a Blockchain-based exchange that is fully integrated with established financial markets. With the upcoming pilot project we become a worldwide pioneer in digital finance,” said Joseph Portelli, chairman of the Malta Stock Exchange.
This move is interesting in that it offers a parallel track to companies wishing to go public via token sales. While even the terminology isn’t completely hashed out in regards to the future of these systems, having a spot like Malta lead in the matter of token sales selling alongside equities is a solid decision. Malta is increasingly becoming the testbed for these sorts of experiments and, even if this is not yet a real project, it could create a turnkey solution for ICO launches on the island.
Malta Passes Three Blockchain Bills, Becoming the “Blockchain Island”
Passing three bills into law, Maltese Parliament has established a regulatory framework for the country’s fast-developing blockchain sector. The move “will put Malta on the international map for blockchain and crypto regulation,” the Parliamentary Secretary for Digital Innovation and Finance Silvio Schembri told CNN.
Maltese Prime Minister Joseph Muscat tweeted “We will be the global hub for market leaders in this new sector” and he just might be right. Invited by the friendly crypto-environment, many crypto and blockchain businesses have already set up shop in Malta, including OKEx, Binance, and BitPay.
Strategic Coin is a premier provider of market and sector research, token launch services and strategic consulting to the blockchain industry. Strategic Coin is known for: 1) comprehensive Viability and Strategic Assessment (VISTA) Reports that are the most thoroughly vetted view of a project’s utility, platform value and long-term prospects; 2) customized advisory services for global token generation events; and 3) the Strategic Coin Media Network, which distributes news coverage, videos, in-depth analysis, and thought leadership articles that stand out for their quality and depth. Strategic Coin’s parent company, Strategic Blockchain Inc. also holds a position in Decentralised Ventures, a Malta-based advisory firm specializing in blockchain, smart contract technology, and token generation and sale advisory services.