Bithumb Announces New US Security Token Platform
Security tokens received a big boost this week after the South Korean news agency Yonhap revealed Bithumb's latest crypto intentions. According to anonymous sources listed in the report, Bithumb plans to open a US-based security tokens platform in the coming year. The move marks a continued push by traditional crypto exchanges into the security token market.
The advantageous project involves a partnership with the US-based crypto focused crowdfunding platform SeriesOne. For their part, SeriesOne plans assistance in the areas of crowdfunding and technical support. Speaking to Yonhap, an unnamed SeriesOne executive discussed how his firm actively sought out Bithumb after researching the company’s accomplishments in the crypto sector.
SeriesOne officials pointed out the growing number of users seeking asset tokenization. Officials also discussed how this trend is now reaching global status. SeriesOne received major media attention after the SEC accredited the firm earlier in the year.
Bithumb Mystery Platform Details
Currently, the platform remains nameless with little details publicly available. So far these details include that the services provided are exclusively for security token users. Executives announced that the exchange's release date is 2019 Q1.
South Korean-based Bithumb is the second largest exchange in the country. The platform entered the market in 2017 and is a subsidiary of BTC Korea.com Co. Ltd. The exchange offers fiat to cryptocurrency trading. However, the Korean won is the only fiat currency accepted.
In June 2017, Bithumb was the victim of a hack. The hacker breached an employee's computer where they located access information for the exchange's servers. It was reported that the hackers made off with billions of won.
SeriesOne entered the market on Nov 22, 2017. The company specializes in blockchain-based crowdfunding strategies such as ICOs. The company is regulatory compliant. It’s no doubt that Bithumb intends to tap into SeriesOne's plethora of experience in the asset tokenization sector.
Bithumb executives look to corner key exchange markets in the coming months. The company recently unveiled plans regarding a decentralized exchange platform known as DEX. The exchange features Peer-to-Peer trading. To mark the occasion, Bithumb offered free transaction fees and a well-publicized Airdrop event.
Security Token Adoption
Security tokens require users to adhere to strict AML and KYC laws. Both security token issuers and holders must reveal their identity to the government. In this way, security tokens bridge the gap between traditional investments and the cryptocommunity. Many believe that security tokens are the natural progression of the crypto market. Security token requirements better fit large-scale investments from traditional firms.
Positioning for Greatness
Bithumb is a veteran in the crypto space. The developers behind the platform helped shape the current state of the cryptomarket and it appears that this trend is set to continue in the coming months. It will be interesting to see Bithumb enter the American market, and analysts predict that the move could usher in a flood of new security token exchange platforms.
For now, all eyes are on Bithumb as the company continues to display a firm understanding of the wants and needs of the crypto community.