Neufund to Offer First Tokenized Equity this December
Neufund, a Berlin-based service for tokenizing assets, is offering its first equity in tokenized form.
Neufund, a Berlin-based tokenization service, will start offering the first security token that reflects the value of equity. The event, an Equity Token Offering (ETO) is a part of the drive to adopt security tokens in a fully legalized and transparent matter.
“More than a year ago we made a promise to conduct the first-ever legally binding offering of tokenized equity on Blockchain in 2018, and we remain true to that plan. The first ETO will be an ultimate showcase of our product,” said Neufund co-founder and CEO, Zoe Adamovicz in an emailed statement.
The Neufund offering will open the whitelisting subscription window on November 27, and then perform the public sale for seven days until December 15. In addition to the first-ever equity token, Neufund has whitelisted 3,000 investors from 91 countries. Seven more companies are lined up to offer equity on the platform.
Neufund, operated by Fifth Force GMBH, is already advising firms and governments on the potential for security token issues. The firm has reserved pledges of 12 million EUR in future investments. Backers include Frank Thelen (Freigeist), Christophe Maire (Atlantic Labs), Alexander Lange (Index Ventures) and Max Kordek (Lisk).
Neufund itself has issued the NEU token, which may be categorized as a security token. The platform users receive NEU token rewards for their investments, and entitle the to sharing in the earnings of the Neufund platform.
The investment opportunity is, for now, restricted, after Neufund met with a new investigation from m the German Federal Financial Supervisory Authority (BaFin). The supervisor demanded Neufund issue minimum tickets of 100,000 EUR, while the initial intention of the fund was to allow 500 EUR tickets. The opportunity for a smaller, more accessible investment, may be open in the second round of token sales in 2019.
Europe has been one of the more liberal markets, where several projects have tried to issue platforms for security tokens. Recently, DESICO opened its token sale in Lithuania. Other projects are still preparing for security token offerings, hoping to become fully legalized and transparent.