2 Regulatory Filings for Security Token Issuers Targeting International Retail Investors.
Many statutes require businesses, other organizations, and individuals to file certain forms and produce documents as a prerequisite for certain acts. The Securities Act, for example, requires registration of many types of public and private offers to sell or buy securities. Whitelist0x helps security token issuers with a number of filings with securities regulators such as the SEC in the U.S. and other securities regulators from various jurisdictions.
Public Filing.
If an issuer is looking forward to having a public offering, then such issuer might want to file with other securities regulators from various jurisdictions instead of the SEC because of the streamlined process and affordability. While filing an Offering Memorandum ‘not prospectus’ with the SEC only allows security token issuers to offer their security tokens privately to accredited U.S. investors, filing with other securities regulators from various jurisdictions allows issuers to take their offering to the public excluding the U.S. and OFAC sanctioned countries.
Whitelist0x takes the hustle and bustle from issuers by helping them draft their Offering Memorandum [ OM ] and file it with the SEC; the US securities regulators and also drafting their Prospectus and filing it with other securities regulators from various jurisdictions. This allows issuers to target private and accredited investors in the U.S. and international investors from across the globe excluding the below countries.
Whitelist0x is currently not serving issuers and investors from the Office of Foreign Assets Control [ OFAC ] countries. This list of sanctioned countries [ as of the time writing ] includes the Balkans, Belarus, Burma, Cote D’Ivoire [ Ivory Coast ], Cuba, Democratic Republic of Congo, Iran, Iraq, Liberia, North Korea, Sudan, Syria, and Zimbabwe. The list is being updated periodically and the most recent version can be found here.
Private Filing.
The primary purpose of the Electronic Data Gathering, Analysis, and Retrieval [ EDGAR ] is to increase the efficiency and fairness of the securities market by accelerating the receipt, acceptance, dissemination, and analysis of time-sensitive corporate information filed with the Securities and Exchange Commission [ SEC ]. The EDGAR filing is one of the legal and compliance framework provided by Whitelist0x. The secondary purpose of EDGAR is to provide transparency in the marketplace by making documents that have been filed quickly available to investors over the Internet.
The team at Whitelist0x helps security token issuers file the Form D with the Securities and Exchange Commission [ SEC ] that allows them under a Regulation D exemption or Section 4 [ 6 ] exemption to offer security tokens a.k.a. shares to finance their businesses without going through the IPO process and selling stock to the public.
The Blue Sky Laws are state regulations established as safeguards for investors against securities fraud. The laws, which may vary by state, typically require security token issuers to register their offerings and provide financial details. This allows investors to base their judgments on verifiable information. Whitelist0x helps in the preparation of these filings for all U.S. States. Depending on the chosen package, an issuer could choose to sell their shares to up — to 10 states or all the 50 states in the U.S.
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Whitelist0x is what it is :: a Whitelisting Firm. That says it all. However, there’s more beyond the name. Whitelist0x focuses on helping small businesses go public to raise funds via the security token offering mechanism. Unlike similar security token platforms that only offer technical solutions, Whitelist0x enables private companies to launch extensive public relations, integrated marketing, and investor relations campaigns, draft various offering documents such as prospectus, file with securities regulators in the U.S. and various other jurisdictions, and then issue security tokens that represent shares and allow shareholders a stake in their company’s equity as well as a share in their profits in form of dividends, interests, and so on.
