Securrency, AX Trading Announce Security Token Issuance Partnership
US fintech companies Securrency and AX Trading have partnered for the tokenized issuance and trading of digital securities.
Fintech company Securrency has joined forces with registered broker-dealer and Alternative Trading System (ATS) operator AX Trading, as announced in a press release this week. The strategic partnership will allow AX clients to conduct secure and regulatory-compliant digital security offerings (DSOs) through Securrency’s technology solution. The collaboration will also enable security tokens to eventually be listed and traded on the AX ATS, a regulated secondary market.
The statement further revealed that Securrency’s proprietary Rules Engine and Compliance Aware Token (CAT) standard will be fully integrated into AX to promote the adoption of security tokens and support global liquidity.
The first DSOs are expected as soon as next month, and the AX ATS may be ready to list digital securities by the end of 2019.
“We are confident that the combination of AX’s market experience and regulatory stack with Securrency’s industry-leading technology offers the market a premier platform to issue and trade digital securities in a secure and compliant way,” AX CEO George O’Krepkie said.
He added that AX and Securrency “share a common view of the importance of blockchain-based digital securities technology to the traditional financial markets.”
Jeff Truitt, chief corporate development officer of Securrency, commented on the partnership as follows:
“We have a pipeline of digital security offerings, and most of our issuers are looking for venues offering secondary liquidity. AX brings institutional connections to the digital securities market and provides new avenues for adoption.”
Back in October, Securrency introduced its CAT-20 and CAT-721 standards, allegedly the first interoperable ledger-agnostic security token protocols in the world. Security tokens issued under the CAT protocols are compliant with regulations throughout their life-cycle due to the regulatory technology provided by the company.