New York, Jan. 23, 2019 (GLOBE NEWSWIRE) -- via NEWMEDIAWIRE -- Horizon Globex US, LLC, the STO software specialists, is pleased to announce that it has signed a deal to license its internally developed and proprietary software solution, CustodyWare, to V Stock Transfer, LLC “VStock”, an SEC registered transfer agent and registrar.  This licensing agreement will enable VStock to become a registered transfer agent to take custody of tokenized securities issued pursuant to Reg D, Reg A+, Reg S, or S-1 filings.

The SEC mandates that securities issuers conducting Form S-1 registrations or Tier II offerings under the Regulation A+ rules must engage the services of a registered TA. CustodyWare is the first regulatory compliant product for U.S. TA’s to custody security tokens offered pursuant to an SEC registered or a Regulation D registration-exempt STO.

Until CustodyWare, STO investors were unable to benefit from the compliance and protection TA’s offered because issuers had no way to integrate their ERC20 token issuance with a registered TA. 

“We are excited to power VStock’s STO custody capabilities that will allow security tokens to compliantly trade in the secondary market.  We believe that it is only with sensible investor protection and SEC compliance that the digital securities market in the U.S. will flourish,” stated Brian Collins, CEO of Globex.

“The realization seems to be setting in that a transfer agent is necessary for a regulated token. CustodyWare is the product that we have been waiting for to maintain the integrity of the STO marketplace. While there are those who advocate for no, or minimal regulation of token offerings, that quickly changes when there is fraud and investors look to the regulator for help after the fact,” commented Yoel Goldfeder, CEO of VStock.

After a Regulation D offering holding period, issuers know that in order to allow U.S. compliant secondary trading they should appoint a registered TA to maintain the issuers’ token holders and affiliate records, to cancel and re-issue tokens when investor private keys are lost/stolen, and to use the TA as their paying agent to distribute dividends.

CustodyWare TA’s use the integrated KYC/AML product from Globex to maintain the identity of token holders. The digital signature of the holder’s identity is maintained by CustodyWare on the Ethereum blockchain while the actual identity documentation is securely stored by the TA on an air-gapped hard drive pursuant to SEC Regulation S-P.

About Horizon Globex US, LLC “Globex” – https://horizon-globex.com/

Globex is a blockchain software business specialized in the Regulation D and Regulation S compliant tokenization of assets. Globex offers a complete securities primary issuance solution using Tokenetics.com, investor KYC/AML using KYCware.com, U.S. transfer agent custody using CustodyWare.com and compliant secondary trading on ERC-20 blockchain exchanges.

Inquiries:

Brian Collins

+1 (212) 732 7184

Email horizon@horizon-globex.com