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GoChain Partners with Paperstreet to Streamline Security Token Offerings on the $GO Platform
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With the help of Paperstreet, a crowdfunding platform for security token offerings, GoChain’s own $GO platform will simplify its capital raising capabilities. Using the $GO platform now includes all of these services and will soon be listing its own STOs.
The GoChain mainnet has been live for some time, supporting DApps and smart contracts at close to 100x the transaction speed of Ethereum. However, the GoChain platform is now looking to expand its operations to the security token industry with the help of Paperstreet. As per the announcement:
“Paperstreet will offer a compliance infrastructure for projects launching on $GO to conduct capital raising including KYC/AML, accredited investor verification, investor document signing and processing, and deposit of funds.”
Raising Capital Made Easier
According to GoChain’s announcement, the decision to include Paperstreet in their operations was based on a few factors and common interests:
- Paperstreet is one of the few platforms that provides the necessary infrastructure for white-labeling investors and STO participants. Rather than have companies spend time and money creating their own tools to collect investor information, Paperstreet already has the mechanisms in place to streamline this entire process.
- Paperstreet’s platform ensures compliance baked into their services at no cost to investors.
- A clear pricing model that incentivizes both projects and investors with no up-front listing fees. The security token industry needs “networks, not just products” with clear incentives to really grow.
- Many of GoChain’s projects are now switching to tokenized equity offerings due to the increasing scrutiny of ‘utility tokens.’ Paperstreet will help GoChain integrate itself into this new regulatory framework and marketplace.
Commenting on the announcement, Paperstreet CEO Matt deCourcelle said that “Gochain is an ideal partner for Paperstreet” because they “understand our long-term vision.” Gochain and Paperstreet will thus merge their investment communities and services into one platform for the benefit of both projects.
What do you think about Gochain’s most recent partnership? Does the $GO platform have potential? Let us know in the comments below.
Image courtesy of Medium.
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Tim Fries
Tim Fries is the cofounder of The Tokenist. He has a B. Sc. in Mechanical Engineering from the University of Michigan, and an MBA from the University of Chicago Booth School of Business. Tim served as a Senior Associate on the investment team at RW Baird's US Private Equity division, and is also the co-founder of Protective Technologies Capital, an investment firm specializing in sensing, protection and control solutions.
