San Francisco-based startup Securitize has launched an Instant Access service for retail investors that provides token-share trading on the Ethereum network.
The decentralized token exchange AirSwap took part in the development of the service. Securitize co-founder Carlos Domingo said that the system works on the Ethereum blockchain without intermediaries, which significantly speeds up transactions and reduces costs. Using the Securitize – Digital Securities Protocol, holders of token shares can sell them without opening a position on the exchange.
Instant Access users will have to communicate outside of the blockchain. For example, a person wants to privately sell tokens-shares, and sends potential buyers a special link via email or social networks. To complete a transaction, the buyer must click this link. Securitize added that such transactions will be made almost instantly. In addition, the parties will be required to pass all the necessary KYC/AML procedures required by the token Issuer, so transactions will be performed without violating the requirements of regulators.
“Instant Access will allow investors in token shares to make secure peer-to-peer transactions without counterparty risks. Previously, this was an onerous process that required a lot of time. Now such transactions can be made in seconds and without commissions, with the exception of gas fees in the Ethereum blockchain, ” said Securitize CEO Carlos Domingo.
Recall that more than a year ago, Securitize together with IBM began to develop a platform based on blockchain for issuing debt obligations, and last month, Securitize and LIFULL Social Funding introduced a platform for real estate investment using digital securities.