Digital Securities
Provenance.io Completes $20 million Security Token Offering
Mission Complete
Provenance has announced the successful completion of their recent security token offering. This event, which saw the sale of ‘Hash Tokens’, took place as a Regulation D offering. It attracted $20 million worth of investments from qualified investors.
This funding is intended to be used for the continued development of the Provenance blockchain. This blockchain utilizes Proof-of-stake, and facilitates the securitization on loans.
While Provenance has specialized in loans to date, they indicate their eventual expansion into various levels of finance – all the while, utilizing blockchain to bring new levels of efficiency.
Now that their STO has been completed successfully, Provenance lists various noteworthy events expected to occur throughout the remainder of 2019.
- Q3, First hedge fund on blockchain
- Q3, First real estate title entirely on blockchain
- Q4, First digital mortgage on blockchain
Hash Tokens
The security tokens, which were distributed throughout the offering, are known as ‘Hash Tokens’. Each of these tokens serve as a means for governance, and value transfer for fees accrued through the Provenance blockchain.
These tokens have a fixed amount (100 billion), with value being derived through usage on the Provenance blockchain.
Commentary
In their press release, multiple representatives spoke on the potential of Provenance. The following is what each had to say on the matter.
Sheila Bair, former Chairwoman of the FDIC, stated,
“This is a seminal moment for the blockchain industry in financial services…Provenance.io has the potential to bring massive improvements to the industry, across asset originators, the buy and sell side, as well as regulatory benefits and better consumer protections. In particular, it will provide loan-level transparency around the quality of securitized assets and a clear, unalterable record of ownership—two things that were sorely missing during the financial crisis.”
Jenny Johnson, President and COO of Franklin Templeton, stated,
“Blockchain technology will disrupt financial services in ways that unlock tremendous value through improving current processes but also introducing new ways to do business…We are excited to facilitate and support blockchain adoption because change will happen when the technology is embraced by the market. The technology platform combined with the ecosystem makes Provenance stand out.”
Provenance
Upon completion of the STO, Provenance has now become an independent company. Formerly a product of Figure Technologies, Provenance now has the means to develop and grow on its own accord.
Provenance was originally created and launched in 2018, with a focus on financial services, such as loans and financing.
In Others News
With the announcement of the Provenance STO being a success, promise is now afforded to various other companies looking to replicate these results in the coming months. Below are a few articles detailing upcoming security token offerings.
Kriptomat to Become Second Security Token Offering through DESICO
