Security token issuance platform Polymath today announced new partnerships with IdentityMind Global and Agrello. These new partnerships will streamline the security token issuance and AML and KYC processes on Polymath’s platform, incorporating IdentityMind’s compliance, risk management, and fraud prevention solutions and Agrello’s smart agreements, digital signature and identity technologies.
These partnerships come at a time when token sales and ICOs have raised more than $4 billion worldwide in largely unregulated crowdsales. National regulators have begun to take notice and issue statements mandating regulatory compliance. Moving forward, the launch of tokens representing ownership in traditional financial assets or ‘securities tokens’ will need to meet regulatory requirements and incorporate mandatory AML/KYC verification.
“We know a stampede is coming from capital markets to blockchain,” Polymath CEO Trevor Koverko said. “Polymath is creating the technology platform that helps to form the basis of a security token. In this new world, regulatory compliance and insight into the identity of issuers and investors is a must if sophisticated financial products are going to migrate to the blockchain. Having experienced, reputable partners like IdentityMind and Agrello by our side is critical to ensuring the long-term success of Polymath.”
IdentityMind has extensive experience in providing digital currency, regulatory and risk management solutions to fin-tech companies. Their software handles the AML and KYC requirements necessary to launch regulatory compliant token offerings. A preconfigured plug-in allows issuers to know where their investors are coming from and prevents certain geographies from participating in the fundraising process.
“A partnership with Polymath will allow us to showcase the Agrello’s cutting edge KYC and digital signature services in the highly regulated financial industry,” Agrello co-founder and CEO Hando Rand said.
Polymath’s platform connects token issuers, KYC providers, legal delegates and smart contract developers together to collaborate and create fully compliant security token offerings. This network of participants enables financial products like equities, venture capital, private equity, and real estate trust units to successfully leverage blockchain technology.