The MERJ exchange continues to see interest from investors across the globe. This week, the firm announced it successfully raised the $500,000 minimum required to move forward with its IPO strategy. Now, the company seeks to expand its reach into the tokenized asset sector in a major way.
The MERJ IPO started just days ago on September 10 and extends until November 8, 2019. Importantly, the platform seeks to raise around $4 million in total to expand its capabilities. The platform wants to become the world’s first global, direct access, end-to-end, regulated exchange developed specifically for issuers and financial market consumers.
Speaking exclusively with Securities.io on the success of the campaign so far, MERJ CEO Ed Touhy stated “The response to the public sale has been overwhelming. We’ve had applications from all over the world and there is strong interest from bigger investors who really see MERJ as a game-changer in this space. Investors like that we are live and operational and we have been consistently delivering on our roadmap. To hit the soft cap within a week of releasing the prospectus is a great validation of what we are doing.”
The MERJ Exchange
The Republic of Seychelles-based MERJ Exchange provides enterprise-level trading solutions to investors and businesses globally. The exchange has been in operation since August 2013. At that time, the platform’s launch coincided with the launch of the equities market.
MERJ provides clients with an easy to navigate token issuance and distribution platform. The popular exchange already allows users to settle trades in several fiat currencies. Additionally, the company specializes in multi-asset securities, hybrid instruments, and digital assets.
The MERJ exchange handles the full trading process from exchange operation to clearing, settlement, and depository services. In order to accomplish this task, MERJ is actually multiple entities. For example, you trade your security tokens on the exchange, but your in-house settlement is handled by MERJ CLEAR. Importantly, this subsidiary only handles the clearing and settlement of your trade.
Finally, MERJ DEP handles the depository and registry requirements. This strategy allows the platform to maintain low costs, and provide clients with a more robust user experience while remaining fully compliant each step of the process.
Traditional Exchanges Turn to Blockchain
MERJ’s decision to expand into digital assets showcases the shifting paradigm in the security token market. Instead of new exchanges forming, established exchanges are transforming, and for good reason.
The tokenization of established assets is more popular than ever. This week saw Harbor tokenize $100 million real estate fund. Only days later, AssetBlock tokenized a $60 million fund. Also, Overstock.com decided to re-apply to skip the mandatory Rule 144 six-month lock-up period on its OSTK tokenized shares.
Republic of Seychelles
Notably, MERJ takes great pride in the rich economic history of the Republic of Seychelles. For thousands of years, this land stood as one of the critical trade points of the old Indian Ocean. Today, the firm hopes to do the same and provide traders with a safe and secure platform, albeit digital.
MERJ into the Fast Lane
MERJ demonstrates how traditional exchanges continue to embrace blockchain technology. The added transparency, security, and speed make blockchain tech the clear choice for future investments. You should expect to see this team continue to be a pioneering force in the region for many years to come.