- SPiCE token has become the first security token to get listed on a U.S regulated trading platform
- Non-US residents can now trade their tokens, but U.S. accredited investors are required to wait until next year
- SPiCE says it will list more security tokens on OFN soon
SPiCE VC, a blockchain technology-powered venture capital startup focused on issuing liquid, regulation-compliant security tokens has announced the listing of its token on the OpenFinance Network, a U.S.-based regulated security token platform and non-U.S. investors can now trade their tokens on the exchange, reported Finance Magnates on November 19.
SPiCE VC, a venture capital firm looking to disrupt the world of VC with distributed ledger technology (DLT) has announced the listing of its native token on the OpenFinance Network (OFN) regulated trading platform, making the security token one of the first to achieve such feat.
With the token now live on OFN, the co-founder and managing partner of the company, Ami Ben David, has made it clear that non-U.S investors can now trade their tokens with immediate effect, while accredited investors will have to wait until March 2019 before they will be able to exchange their tokens, due to a12-month restriction for U.S. accredited investors.
For the uninitiated, security tokens are blockchain-based virtual currencies backed by a tradable asset.
Earlier in the year, the U.S. Securities and Exchange Commission (SEC) made it clear that bitcoin (BTC) and Ethereum (ETH) are non-security cryptocurrencies currently on the market, while most or all ICO-generated altcoins must come under its purview.
“Over time, there may be more decentralised networks and systems where regulating the tokens or coins that function on them as securities may not be required,” declared William Hinman, head of the Division of Corporation Finance at the SEC earlier in June.
Speaking to Reuters last week, Tal Elyashiv, co-founder and managing partner of SPiCE VC reportedly stated categorically that SPiCE tokens are securities tokens that give investors economic rights to the performance of the portfolio so “when there is an exit, the net proceeds will be shared among all token holders in a pro rata way.”
SPiCE VC plans to list more security tokens on the OFN platform in the near future.