Tokensoft, a digital securities platform for enterprises and financial institutions, has partnered with New York-based Signature Bank in a bid to make security tokens click for real estate investors.
Most platforms for trading security tokens consist of alternative trading systems that are geared toward general investors, said Tokensoft CEO Mason Borda. However, Tokensoft’s is a private label platform, meaning tokens can be branded according to client needs.
Borda said he wants to allow investors to increase their real estate holdings or find easier exits. Most of Tokensoft’s customers are mid-sized funds – meaning the platform will be handling larger transactions with lower volumes.
“We’ve had an influx of real estate asset managers start working with us,” Borda said. “This marketplace can be for different target verticals. It just so happens that our largest customer base is real estate.”
It’s a more conservative platform in a sector of the crypto economy that has seen slow uptick in investor adoption. Through a series of partnerships, Tokensoft can offer FDIC-insured accounts, appraisal reports and broker-dealer services for asset managers in a bid to bring real estate investors to the tokenization table.
Tokensoft has also integrated with New York-based Signature Bank to provide custody of U.S. dollars and the real-time transfer of dollars through the bank’s blockchain-based payments platform, Signet. This allows customers on the platform to fund their accounts before making trades. Tokensoft’s transfer agent subsidiary DTAC LLC will also move funds.
Tokensoft has also integrated with Inveniam Capital Partners to offer investors easy access to appraisal reports and broker-dealer Tritaurian Capital to buy and sell shares, Borda said.
“If you look at how many entities and parties are involved here, this is definitely the most that we’ve had to plug into our platform,” he said. “Asset managers, fund administrators, broker dealers, the bank and our transfer agent … just a series of technical integrations and configurations that are by far one of the most complex things we’ve put together.”
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