February 27th, 2019 — SelfKey and KYC-Chain have been building boundary-pushing solutions and supported pioneering businesses for years. As the market matures, it becomes ever more important to stay ahead of the curve and to identify winning trends early.
In the online lending space space, the shift from Initial Coin Offerings (ICOs) to Security Token Offerings (STOs) is such a trend. That is why we are delighted to be advising Bitbond on the first German STO. The securities prospectus for the STO is written in compliance with EU Prospectus Regulation and was approved by BaFin, the German regulatory body for financial services The STO is a public offering and is therefore the first of its kind.
With no legal precedent to give guidance, Bitbond approached SelfKey and KYC-Chain to provide advice on how to handle the delicate undertaking with regards to Compliance and AML. Over the course of the next three months therefore, we will be working closely together to ensure that customers are onboarded in a secure and compliant manner.
Bitbond’s STO will be launched on the Stellar network and issues bonds with a maturity of ten years. Bond holders will receive fixed quarterly payments as well as a variable annual payment. Interestingly, the BaFin approved prospectus includes a commitment from Bitbond to buy the tokens back after the maturity is reached. This is a first of its kind in the cryptocurrency space and both SelfKey and KYC-Chain are delighted to be providing guidance.
CEO Radoslav Albrecht said of the partnership: “The Bitbond STO is breaking new ground and we are delighted to have the expertise of both SelfKey and KYC-Chain to help us steer the course.”
KYC-Chain and SelfKey founder Edmund Lowell stated: “We are delighted to be supporting Bitbond during one of most important industry events of 2019. It is a great sign that we are involved in the first licenced STOs in both Germany and Bermuda.”
SelfKey is a leading identity management system that aims to return ownership over personal data back to the individual. To achieve this, SelfKey is building a rich identity ecosystem comprising the SelfKey Wallet, the Marketplace, Login with SelfKey and the KEY token.
KYC-Chain provides state of the art compliance solutions for businesses of all sizes. Since 2016, KYC-Chain has helped service providers process over 500,000 KYC applications in a cost-effective way. To learn more, please book a demo.
Bitbond is the market leader for global small business lending. Since 2013, the German enterprise has funded over 3,500 loans comprising $15 million in loan volume.