OpenFinance Network is reportedly set to allow non-accredited US investors to access security tokens in Q2 2019. It will happen as the required holding period for two tokenized securities has expired and it will allow increased investor access for the first time in the US. The announcement was made during a presentation given by the company’s founder and CEO, Juan Hernandez, at Consensus 2019.
How Will it Happen
OpenFinance is the first U.S. regulated platform for the secondary market trading of digital alternative assets. The required holding periods for two of its security token listings: BCAP and SPiCE is set to expire. Upon trading commencement, Accredited and Non-Accredited U.S. Investors will become eligible to trade these assets 24/7. While BCAP and SPiCE will soon be available to all Openfinance users, the other assets listed on the platform still have active holding periods and will only be available to Non-U.S. investors at this time.
The company is already supporting trading of third-party digital securities in Europe. But, the firm didn’t have the possibility to offer the same services in the United States. Regulators in the country tend to require minimum holding periods for tokenized securities.
As more securities tokens become available to U.S. Investors on the Openfinance platform, digital securities issued by private companies will remain subject to securities laws including shareholder limits. One of Openfinance’s goals is to become an ongoing resource for investors looking to better understand the rules and regulations that govern the trading of unregistered securities.
“Designed to act much like a traditional trading platform, Openfinance provides a broad set of third-party digital securities to investors – offering enhanced versatility and added liquidity to all of its users, which will soon include U.S. Investors along with our already active global users,” said Juan Hernandez, founder & CEO of Openfinance.