FTW Token SEX #10: Here’s What Happened When Whitelist0x Is Compared With the Polymath Network.
Welcome to the 10th edition of the FTW Token SEX Series. A Series of blog posts by the Whitelist0x Team, well … inspired by weird tickers in the blockchain fundraising sphere. Read more about the First Series Here.
Polymath is a great company with like-minded team members and they are one of the pioneers in the security token space. The Polymath’s Token Studio enables security token issuers to create security tokens easily, quickly, and legally. Polymath connects issuers with service providers such as advisors, marketers, agencies, attorneys, promoters, developers, and so on. However, what Polymath is and does is crystal clear … ‘simplify security token issuance and connect issuers with service providers’.
There are tens to hundreds of security token platforms out there, a number of them are currently either not live, pending smart contracts release to the mainnet, etc. While it’s obvious to see most of these platforms tend to always have something in common such as smart contracts, offering dashboard, etc., what makes them distinct from each other is not the generic benefits of using the Blockchain technologies but core value propositions each platform offers its security token issuers.
“We spent a number of nights identifying, studying, and comparing more than 25 security token platforms with Whitelist0x, a large number of them chose to be on the other side of the market a.k.a. providing only the technical infrastructures.” Said Banjo.
The below investment round, value propositions, and features are some of the major differences between Whitelist0x and the Polymath Network and why Whitelist0x is a better choice for security token issuers.
Earlier in the year 2018, Polymath was able to raise nearly $60m through private placement offering which was only available to private and accredited investors in the United States. The Polymath token sale, which was open only to accredited investors, was filed with the Securities and Exchange Commission [ SEC ] as a private placement, which is a way for private companies to raise capital from a select amount of investors.
However, Whitelist0x is self — funded and the team is yet to accept any external investment opportunities to fund the future development of its Equity Studio.
Ever mistaken features or benefits for values or used them interchangeably, primarily benefits and values? People often confuse the three. Sales ‘especially in the blockchain sphere’ people talk about their “value propositions” and then go on to list the generic features and benefits of using the blockchain technologies or sometimes … the product they are selling. However, in the case of Whitelist0x, the team believes there is a very distinct difference between the three.
While Polymath connects issuers with service providers such as public relations agencies, it’s not common for an issuer to see a security token platform providing extensive public relations as add-ons to their services at no cost. Whitelist0x leverages its extensive relationships with more than 10,000 media outlets to help security token issuers earn and build ‘not buy’ robust credibility with the general public. The Company recently launched its Public Relations Solutions as a Value — Added Service for security token issuers that plan to issue their offerings via the Company’s Equity Studio.
It’s not a usual thing for a security token platform to provide marketing and promotional solutions for their issuers, most would only offer their infrastructure a.k.a. the technical side, issuers are generally on their own in terms of marketing.
Polymath connects issuers with service providers which include digital marketing agencies. It’s obvious to see such agencies charging issuers from $100k to $500k or more because they have to pay in POLY [ the digital currency of the Polymath Network ]. Marketing shouldn’t be that expensive but effective. Furthermore, it’s a different scenario with Whitelist0x as the Company provides an extensive integrated marketing to promote its issuer’s offerings. Whitelist0x started operations as a Public Relations and Parametric Marketing Firm, so it’s an easy task for the Company to leverage its internal resources to support its issuers.
Moreover, it is not even certain if Polymath has the resources to provide its issuers investor relations services or connect them with service providers in such field. Unlike other security token platforms such as the Polymath Network that only provide the technologies that enable issuers to create and issue security tokens, the Whitelist0x Investor Relations Solutions comes with an Equity Studio that allows issuers to draft various disclosure and offering documents such as the Offering Memorandum, Subscription Agreement, Investor Verification Letter, LLC Operating Agreement, Attorney Opinion Letter, Offering Prospectus, filing with the SEC and other securities regulators from various jurisdictions to enable an issuer to conduct a public offering with international investors.
Polymath does connect issuers with attorneys but at Whitelist0x, the team utilizes its internal securities attorneys for filing and other legal and compliance activities. Furthermore, Whitelist0x does work with securities attorneys from various jurisdictions to further simplify the legal and compliance process of its issuers.
“At Whitelist0x, we do all the boring documentation and filing works for our issuers. From drafting custom offering documents to the filing, security token issuers can count on us, bigly.” Said Banjo, Whitelist0x’s Chief Product Officer.
The Whitelist0x Investor Relations Solutions [ Equity Studio ] will not only allow security token issuers to create, launch, and issue security tokens, but also will enable them to reach, acquire and retain investors using various built-in tools such as investor leads, targeted circuits, virtual events and many more.
“Smart contracts can’t tell you where your investors are dining and hanging out. But extensive public relations, integrated marketing, and investor relations campaigns can. That’s where Whitelist0x got you covered.” Said Laja, Whitelist0x’s Chief Technical Officer.
Features & Functionalities.
From built-in Investor Relationship Management [ IRM ] to Know Your Clientele [ KYC ], Clientele Relationship Management [ CRM ], Integrated Securities Exchange, Smart Contracts Development, Asset Management Dashboard, and much more, the Whitelist0x core features and functionalities are the definition of core value propositions security token issuers should take advantage of.
Investor Relationship Management [ IRM ].
Some of the core features of the Whitelist0x Equity Studio is a robust Investor Relationship Management [ IRM ] tool that can be used for managing communication between an issuer’s corporate management and its investors. This includes support tasks such as releasing disclosures, handling inquiries and roadshows, providing feedback to management, and crisis management. The team has made this so easy that issuers can simply leverage the use of email and even text marketing campaigns to achieve their IRM goals. This is just of the many features and functionalities the Polymath Network doesn’t provide security token issuers.
However, IRM shouldn’t be mistaken for the Polymath Token Studio. The Token Studio also known as [ Investor Dashboard, Asset Management Dashboard, etc. ] allows security token issuers to create, launch, and issue security tokens using the built-in Polymath Smart Contracts. Those are just what the Whitelist0x Equity Studio is built to do. But, what the Equity Studio does that the Token Studio doesn’t … are the abilities for issuers to do more with Investor Relationship Management [ IRM ].
Know Your Clientele [ KYC ].
While Polymath outsources almost everything including their KYC features … even after claiming it was going to be built, the Whitelist0x Equity Studio has a gigantic Know Your Clientele [ KYC ] built — in. This enables security token issuers to utilize the Company’s end — to — end investor identity, verification, screening, and monitoring for accelerated investor onboarding, remediation, and refresh built on an interactive platform that streamlines compliance and the distribution of due diligence documentation.
Clientele Relationship Management [ CRM ].
The Whitelist0x’s Clientele Relationship Management [ CRM ] tools help to streamline processes and increase investment contribution during an offering. It is a multifaceted platform where everything crucial to developing, improving, and retaining an issuer’s clientele relationships is stored. Without the support of an integrated CRM solution, an issuer may miss growth opportunities and lose revenue because they’re not maximizing their business and investment relationships with their investors. This is another key marketing, sales, and support tools that come with the Whitelist0x Equity Studio. The Polymath Token Studio currently does not have this functionality.
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.