BANKEX to Open Security Token Trading Platform

BANKEX Platform

In addition to developing an STO/DSO framework, BANKEX has now announced the launch of a digital securities trading platform.

While multiple frameworks for the issuance and distribution process are in the works, few announcements have been made with regards to trading platforms.

 The main benefits being offered by digital securities typically hinge around liquidity and efficiency.  To achieve these sought after traits, retail investors must have access to secondary markets which host said tokens.

The planned trading platform by BANKEX will make these benefits a reality.  With plans to facilitate trading for both utility and security tokens, the platform stands to appeal to a diverse crowd.

While various security token protocols are on the market, the BANKEX platform will initially support the following:

• ERC-1400
  • Created by a quartet of blockchain developers
• ST-20
  • Developed by Polymath
• ERC-888
  • Developed by BANKEX

Each of these token standards are products of the Ethereum blockchain.  They vary from the typical ERC-20 token by incorporating various features. These include, but are not limited to, facilitating KYC checks, adhering to AML, and more.

As of Oct. 30^th, the exchange has launched with basic features. For now, trading is limited to BTC, LTC, ETH, BKX, and BCH.  In time, expansion of supported coins will see the inclusion of security tokens.

Custody

Straight from the SEC, it has been said that a major hurdle within the blockchain industry is that of custody solutions.  While various companies have indicated theirintent to create such services, very few have actually done so at this point in time.

Along with the launch of their trading platform, BANKEX also intends to offer custody services as well. This means that investors will be able to entrust their tokens to beheld by BANKEX in a safe manner.  A safe manner implies practices such as insurance acquisition, cold storage, etc.

End-To-End

Instead of focusing on a subset of the digital securities industry, BANKEX intends to be a comprehensive platform.  While this makes the hurdle towards widespread launch higher, it also raises their ceiling for potential as a platform. 

If BANKEX is successful in what they want to achieve, investors will have no need to utilize outside services, thereby increasing the influence of BANKEX within the sector.

BANKEX

Founded in 2015, BANKEX is based out of New York, New York.  They are a financial service company with self-described mission to… “Add liquidity to assets that have an underrated value due to the way that classic financial markets currently operate.”

Beyond the news of their intended platform launch, BANKEX recently made news as they were the recipient a Maltese VFA Licence.  This opens the door to various financial services, which are detailed in a recent BANKEX blog post, HERE.