DigiShares provides a white-label platform for digitizing securities (shares, bonds, etc.), issuing these in order to raise funds for a project, and the longer term management of a group of tokenized investors. DigiShares’ platform can be used for any type of fund-raise (STO = Security Token Offering) including real estate development projects. The DigiShares platform is “white-label” meaning that it is often sold to partners who offer the platform under their own brand-name.
The DigiShares platform can be used in connection with fund-raising but it can also be used in connection with the tokenization of existing funds or companies, in order to create more liquidity among existing investors and make it easier to on-board new investors.
The can be used by investment banks, asset managers, real estate fund managers, etc. to manage and raise capital for multiple projects simultaneously. Each project will have its own URL and its own database of investors. The investor databases can be pooled and shared between projects, if required.
An STO (Security Token Offering) is a capital raise where the ownership of securities (shares, bonds, loans, etc.) are represented as tokens on the blockchain. This results in many benefits in the form of increased efficiency, transparency and security, increased access to investors and liquidity, internationally, as well as a significantly decreased cost of raising capital and subsequent management of the group of tokenized investors. DigiShares’ platform can be used to raise funds for an investment fund, real estate fund, renewables fund, later stage startup, etc. as well as much easier management of a large group of investors.
There is a dashboard for each investor and for the administrator of each STO project. In addition, there is a top-level administrator dashboard managing all the STOs that are issued by the same corporation.
Within the STO dashboard, the administrator may define the security to be tokenized. It can for instance be a share and it is possible to have multiple share classes.
Once the STO has been completed, it is necessary to keep using the platform in order to manage investor communications and corporate actions, such as shareholder meetings and associated votes. In this version, the meeting and voting module has been much improved with the ability to create votes where shares are counted in different manners based on shareholder rights. It is even possible to invite external non-shareholders to participate in votes. Meetings can be created with agendas where individual agenda items may require a vote to be conducted.
It is now possible for investors to send messages to the STO administrator within the platform – directly to the administrator’s inbox, as well as to easily send mass emails to a large number of investors at once.
The document and contract management module has also been extended with the ability to create customized contracts within the system, set variable fields for investor name, number of shares to purchase, date, etc. and specify precisely the subset of investors the contract should be distributed to. This makes it easier to fully automate and optimize the investor onboarding workflow. It is also possible to specify that a document is available for investor review such that the investor can make suggestions and changes in the document.
The internal exchange is now also functional. It allows investors within a single project to trade with each other and hence can provide extra liquidity to investors. This can be highly beneficial in particular in cases where there are many investors in a single project or where investors may be interested in exiting their positions earlier than what is normally possible. It is also possible to invite and white-list new investors into the exchange to trade with existing investors.
Other new functions worth mentioning are: 2 factor authentication and “tell a friend”.
If you are interested in more information or getting a demonstration, please contact DigiShares.
