Blockchain Firm BANKEX To Launch Security Token Exchange

Blockchain Firm BANKEX To Launch Security Token Exchange

Malta-based Fintech BANKEX will be launching its own token exchange that will enable trade of basic pairs of utility tokens and complex security tokens connected to real-world assets.

BANKEX operates a Proof-of-Asset Protocol to bring Bank-as-a-Service (BaaS) and blockchain together and facilitate the digitization, tokenization and exchange of traditional assets, ushering in a new era for finance and banking: Securitization 2.0. Its infrastructure services and technologies include the STO framework, which offers services covering the entire life cycle of a security token. Other offerings include custody service, Ethereum Plasma Prime, supply chain, and digital deal.

The company’s new token exchange will serve as a secondary market for security tokens and will support ERC-1400 and ST-20 token standards, as well as its own ERC-888 security tokens that incorporate know your customer (KYC) verification methods. The trading platform will store crypto assets in BANKEX Custody Service, an eminently secure cold storage depository. It will undergo a brief evaluation period over the next few weeks to ensure optimal operations for all customers.

“The tokens that will be supported by the new exchange will only be available to people who have gone through and been approved by KYC and AML procedures,” the company said. “The author of a token, i.e. the business or the developer that is responsible for the token offering, can create and monitor rules for both the KYC and AML procedures.”

The company said that they will apply for a Virtual Financial Assets Act service provider license in Malta next year in order to list security tokens in full accordance with Maltese legislation.

“The Malta Financial Services Authority license is granted only to exchanges that have strong know your customer (KYC) and anti-money laundering (AML) procedures in place,” the company said. “In conjunction with this initiative, BANKEX is also working towards getting licenses in Switzerland, South East Asia, the United States, and the Cayman Islands.”

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