Developing Swiss Bank Mt Pelerin Launches Security Token Offering Service After its Own Successful STO

Developing Swiss Bank Mt Pelerin Launches Security Token Offering Service After its Own Successful STO

As of June 18th 2019, Mt Pelerin— a forthcoming bank which leverages blockchain technology based in Geneva, Switzerland— has announced the launch of a securities tokenization service. The announcement comes after Mt Pelerin conducted its own Security Token Offering (STO) in late 2018.

Mt Pelerin’s Security Token Offering Service Explained

Mt Pelerin is in the midst of acquiring a Swiss banking license. The company expects to receive the license during the year 2020.

In October 2018, Mt Pelerin launched a Security Token Offering (STO). At the end of the offering, Mt Pelerin announced that it had sold 5% of its equity for $2.15 million— directly to investors, without any intermediaries. US-based investors were not eligible to participate.

Now, while Mt Pelerin awaits the approval of its banking license, it has announced a “one-stop-shop” aimed to help companies issue and tokenize securities using blockchain technology.

The new service is said to give “companies of any size the possibility to access fundraising methods like IPOs more easily and without significant entry barriers”.

According to Mt Pelerin CEO and Founder Arnaud Salomon,

“In addition to the technical aspects of security tokenization, we are able to conduct KYC/AML on behalf of our clients and offer fiat escrow accounts. A unique level of service in the blockchain space that companies would normally need to get from several expensive specialists, while we provide first-class expertise and due diligence in a single place.”

Compliance is one of the most important aspects of security tokens. In fact, one of the biggest ways in which STOs differ from their ICO counterparts is through compliance itself.

Yet compliance isn’t straightforward— multiple securities regulatory bodies exist across the globe, each with different requirements.

Salomon says Mt Pelerin will solve this issue through its multiple jurisdiction compliant framework:

“Our framework allows for the flexibility and scalability required to provide total compliance for multiple jurisdictions and maintain it over the entire lifetime of a token as laws evolve.”

The tokenization of securities involve more than just equity. So far, the nascent industry— which has seen $500 million in investments— has witnessed the tokenization of investment funds, real estate, and even fine art.

What do you think of Mt Pelerin launching a security token offering service? Let us know what you think in the comments section below.

Image courtesy of Medium.