Investing in Glint | How to Buy Pre-IPO Shares

Glint is a gold-backed trading and investment app. The company aims to make gold a daily currency through its innovative approach, which enables users to leverage the precious metal’s stability and value for more than just savings. Glint’s unique business model is pioneering the gold currency rush, and investors have taken notice.

Despite strong demand for Glint shares, the company hasn’t shared any plans to go public. This situation doesn’t mean that it’s impossible to access these assets. However, you will need to take a moment to learn how to navigate the secondary markets. Here is what you need to know.

What is Glint?

The Glint app entered service in 2015. Its founders, Jason Cozens and Ben Davies, wanted to bring gold back into the mainstream currency race. They recognized its place as the oldest global reserve currency and wanted to make it a daily option as well.

Interestingly, the company is named after glint gold, which has a unique color compared to bright yellow colonial gold. Their business model reflects this desire to be different. It integrates the world’s oldest global currency with today’s most advanced technology to create a secure and trackable method to buy, sell, trade, and use gold for everyday purchases.

Glint App

The Glint app is what connects users to the ecosystem. This user-focused platform features an easy-to-navigate interface that enables newbies to complete basic investing tasks, while not restricting experts from conducting more complex strategies. It also includes a host of helpful tracking features, such as real-time monitoring of holdings and market prices.

Users can buy gold or silver directly in the app at the current bullion rate. Notably, there is a small fee paid for buy and sell transactions. Keenly, the app enables anyone to easily track their holdings and portfolio gains or losses over time. Additionally, there’s a news and blog section, which has helpful articles, tips, and instructional items to improve your investment IQ.

Transfers

The Glint App provides a seamless way to transfer USD, GBP, EUR, or gold between users for free. You can also convert your fiat currencies using the app. In this way, the secure transfer protocols can save travelers costs on remittance or other international transfers.

Glint Mastercard

The Glint Mastercard enables you to spend your physical gold anywhere that accepts a Mastercard. It works similarly to a crypto debit card in that it converts your funds into fiat currency at the time of purchase. This approach opens the door for more people to utilize gold in their daily transactions.

Source – Glint

The Glint Mastercard is accepted in 210 countries. It was made possible via a strategic partnership between Sutton Bank and Mastercard International. Users can order their card for free and receive it in the mail in around 10 business days. To load the card, users need to utilize the Glint App.

Glint is Different

Many factors make Glint stand out. For one, its business model provides you with legal ownership over the physical gold. This approach is in stark contrast to gold-backed cryptocurrencies, which don’t provide any legal ownership of your gold, or ETFs that trade paper rather than the asset.

In the Glint business model, you have constructive possession of your Gold under the law. The company was able to swing this maneuver by structuring its business model to secure the physical gold purchased by users in Brink’s Vault in Switzerland. Notably, these reserves are insured by Lloyds of London but aren’t FDIC insured.

Can you Receive Physical Gold?

Glint’s business model enables you to request your physical gold if you require it. However, there’s a significant cost to this approach, and it’s by far not the most cost-effective way to purchase physical gold you intend to self-store.

Some of the added costs when requesting your physical gold arise from the fact that the company’s reserves are stored in 1kg and 12kg bars. Consequently, you will need to pay to have the gold smelted to your exact balance if it’s not one of the two options provided. These expenses are in addition to any shipping costs.

Historical Funding Rounds

Summary of Glint Funding:

Total Funding: Glint secured $25.8M across 8 funding rounds.

Largest Round: Glint’s largest funding round secured $6.36M in June 2019.

Investors: A total of 32 institutional investors and 49 Angel investors back Glint.

Latest Round: The latest funding round raised $579k and was a Series B round held on June 18, 2021.

Funding Rounds Breakdown:

• 8 Early-Stage

Key Investors:

Glint secured investment capital from several institutional and angel investors, including Sprott Asset Management, Sibanye Stillwater’s BioCube Innovation Fund, NEC Capital Solutions, Bray Capital, and the Tokyo Commodity Exchange.

Why Invest in Glint?

There are many reasons why investing in Glint could make sense for you. For one, the company provides a streamlined way for anyone to participate in the gold market. Historically, gold has been a stable store of value and a smart way to hedge against inflation.

Glint’s business model democratizes access to this helpful investment vehicle and enables the community to leverage its benefits while avoiding traditional roadblocks. These roadblocks include the need to store, transport, and secure physical gold. Alongside having to break it into smaller denominations via smelting, which is an expensive task.

Glint is Compliant

Glint is a fully regulated gold-based app. The firm has gone to great lengths to meet all KYC and AML requirements. It’s also FCA-approved, and its cash accounts are FDIC-insured. When you combine these aspects with its history of providing secure gold transactions globally, it’s easy to see why investors continue to seek out Glint pre-IPO shares.

Flexible Options

Few gold investing apps can match Glint’s flexibility. The platform enables you to store your money in multiple fiat currencies, gold, or silver. Additionally, you can spend it from these assets directly using the debit card without the need to change them into a token or a particular fiat currency. This flexibility opens the door for more international gold transactions while making the app more appealing to a broader client base.

Security is Glint Priority #1

Wisely, Glint stores all gold reserves in the Brinks Switzerland Vault. This highly secure area features 24/7 surveillance and live security. Also, it’s constantly audited, making it a great fit for Glint’s needs. Plus, this business model means that you have legal constructive possession of the gold being stored on your behalf.

The decision to utilize such a reputable company as Brinks for storage was a smart move on Glint. It helped the app secure user confidence and boost the company’s standing in the market. It also reduced the workload and over costs of the ecosystem compared to storing the gold onsite.

Partnerships with Leading Financial Firms

Glint secured high-level partnerships across the financial sector since its launch. Specifically, the platform inked a deal with Mastercard to host its debit program. It also has an agreement with Brinks to utilize its vault storage for bullion. Additionally, Lloyd’s of London handles the company’s insurance demands alongside Sutton Bank, which is responsible for US-related banking services.

Funding and Investor data sourced from Tracxn

1. Pre-IPO Secondary Marketplace

Secondary markets are purpose-built exchanges that connect pre-IPO shareholders with potential investors. These marketplaces can offer these assets because they work closely with employees, early-stage investors, and venture capitalists, who are crucial to the company’s pre-IPO growth.

Investing in pre-IPO shares of Glint could offer strong returns if the company’s valuation increases following its IPO. It’s common for company valuations to increase following an IPO. As such, it makes sense to add pre-IPO shares to your portfolio before the firm announces plans to go public.

Secondary marketplaces have many requirements. Here are some concerns you should be made aware of:

Eligibility: This approach requires you to be an accredited investor, meaning you will have to show at least $1M in liquid assets to qualify for access.

2. Private Equity Firms

Private equity firms gain access to pre-IPO shares during investment rounds. They then offer these shares to high-net-worth accredited investors with a commission. Notably, private equity firms are known to have extra stipulations, including blocking the sale of shares for years in some cases.

3. Employee Equity Sales

Many consider employee equity sales as the best way to acquire pre-IPO shares in Glint. This method of acquiring pre-IPO shares requires you to connect with former employees. It’s common for companies to issue shares as part of an incentive package. Notably, this profit-sharing method has become more popular, leading to more pre-IPO share opportunities for investors.

Private Transactions: There are a lot of hoops you will need to jump through to complete a private pre-IPO transaction, including creating specific legal agreements, conducting valuations, and setting in place any limitations on the transfer of the asset.

Brokerage: Brokers will take a lot of the confusion out of the pre-IPO process. These professionals can guide you through each step, ensuring full compliance and avoiding common errors untrained professionals make.

There are several risks that you should consider before jumping into the pre-IPO shares investment arena. Here are the top concerns:

Liquidity Risk

If you are looking for an asset that you can sell right away, pre-IPO shares are not the best option.

These investments can include sales and transfer clauses that prevent the transfer of the asset until certain criteria, such as the IPO’s completion, are met. It’s even common for pre-IPO shares to require you to wait years before gaining the ability to sell your assets.

Finding a Broker

If you meet the requirements and are comfortable with the risks, several platforms offer access to pre-IPO opportunities:

Forge Global: One of the largest private stock marketplaces, offering shares in late-stage startups like SpaceX, Stripe, and Databricks. Minimums typically start around $100,000.

EquityZen: A popular platform allowing accredited investors to buy into private companies with minimums as low as $5,000. Past offerings include companies like Discord and UiPath.

Rainmaker Securities: A full-service broker that helps source and negotiate private share sales, including opportunities in companies like OpenAI, Stripe, and Palantir.

Hiive: A newer platform with live bid/ask pricing for hundreds of private companies. Transparent and low-fee, with minimums starting around $25,000.

MicroVentures: Offers pooled access to late-stage companies through special purpose vehicles (SPVs), including past investments in SpaceX and Instacart.

EquityBee: Allows investors to fund employee stock option exercises at startups, often at discounted valuations, with minimums around $10,000.

Augment: A digital-first marketplace showing real-time pricing for pre-IPO shares, targeting tech-savvy investors and offering lower transaction fees.

StartEngine Private: Launched in late 2023, this platform offers accredited investors access to Regulation D offerings in later-stage, venture-backed companies. In its first nine months, it generated $16.5 million in revenue, with average investments around $32,000

Important: Always perform thorough due diligence and consult a financial advisor before investing in private company shares.

Valuation of Glint and Future IPO

Glint hasn’t received a valuation yet. However, the company has seen some considerable growth that could help investors determine its potential. The app currently has 56k daily and 226k registered users. It currently controls $313,218,262 in gold held in the Brinks Swiss vault and ranks third among its 45 competitors.

Those holding Glint pre-IPO shares seek to cash in on future gains the company creates due to its unique approach. Impressively, the firm remains one of the easiest and most accessible ways for someone to start investing in gold. Also, its goal to democratize the gold markets makes it stand out and helps it to continue to drive new users to its offerings.

Glint Conclusion

Holding Glint pre-IPO shares brings several exciting opportunities to the table. However, there are also many risks that you should consider. All pre-IPO shares will have certain restrictions, like no sale clauses, that could make the asset riskier compared to traditional shares.

To reduce the chance of avoidable losses, it’s recommended that you consult an investment professional. Those who consult an expert and find that they qualify for Glint Pre-IPO shares could gain strong positioning and additional benefits from holding these high-demand assets.

Learn about Other Pre-IPO Opportunities Now

Disclaimer: This article is for informational purposes only and does not constitute financial, legal, or investment advice. Pre-IPO shares are typically available only to accredited investors and carry significant risk. Always perform thorough due diligence and consult a financial advisor or legal expert before making investment decisions.