Globacap has successfully exited the FCA’s regulatory Sandbox Cohort 4. It is now the first regulated digital security offering and administration platform in the United Kingdom.
Globacap is an automated capital market which specializing in digital securities. Covering shares, bonds, and funds, the platform is now authorized and regulated by the Financial Conduct Authority (FCA).
Last year, Globacap entered the FCA’s sandbox trial period. It was meant to test the new innovative technologies to properly develop regulatory clarity. Now, the FCA has given the platform full authorization to conduct its digital securities business, the first in the UK.
In 2018, Globacap tokenized its own shares. Then, in 2019, the platform tokenized two UK-based companies with Globacap serving as the custodian and responsible for capital crowdfunding. The purpose of the platform is to provide built-in compliance to properly transfer ownership from traditional assets to digital tokens.
According to Myles Milston, CEO of Globacap:
“The Sandbox programme has been a great experience, enabling us to come to market with a new application of an emerging technology in a controlled but quicker manner. From our groundbreaking proof of concept in August last year, to our product now coming to market, the support from the Innovate Team at the FCA was instrumental in the success of this journey.”
Security tokens are growing in the United Kingdom, but the regulatory situation is still unclear. In March, CurveBlock held an STO in the United Kingdom. The Longdon Block Exchange last year also released its first-ever GBP-backed stablecoin. We can expect more exciting developments in the country as the regulatory situation improves.
Do you believe the UK could become a hub for security tokens? Let us know your thoughts below.
Image courtesy of Globacap.