SPiCE VC’s Security Tokens Listed on OpenFinance Network
SPiCE VC said that non-US investors are able to buy its security tokens starting from Monday, November 19.
SPiCE VC, a security token-oriented venture capital firm, announced on Monday that its own security token, which was released in March of this year, would be listed on OpenFinance Network, Reuters reports. OpenFinance Network is the first security token trading platform fully regulated in the US.
The VC firm was founded last year in Singapore and raised around $15 million through a security token offering (STO) event. The funds have been invested in several tech companies, bringing the total number of portfolio firms to seven.
Many experts agree that security tokens represent the next megatrend, as they are capable of transforming asset classes ranging from stocks to real estate and commodities. Unlike ICO-based utility tokens, security tokens incorporate more value given that they are backed by real-world assets and provide ownership rights to those assets.
SPiCE VC co-founder and managing partner Tal Elyashiv told Reuters:
“Investors in SPiCE VC are not locked in for 10-15 years. They invest in tokens. Think about them as digital contracts. They’re securities and they give token holders economic rights to the performance of the portfolio. So when there’s an exit, the net proceeds get distributed to all token holders in a pro rata way.”
Ami Ben David, another co-founder of the VC firm, said that non-US investors could trade the SPiCE security tokens starting from Monday, while US-accredited investors will have to wait until March 2019, as there is a one-year restriction for them.
The OpenFinance Network, founded in 2014, has provided trading services for several alternative assets and recently opened the door for security tokens. Last month, the trading platform operator secured an investment from Sharpe, though the amount of the deal hasn’t been disclosed.