Security token startup Harbor has gotten a transfer agent license from the U.S. Securities and Exchange Commission (SEC).
A month in the wake of getting a broker-dealer license from the Financial Industry Regulatory Authority (FINRA), Harbor received the license Thursday to better guarantee interest and dividend payments to investors. The company is the first blockchain organization to be granted the two licenses.
Transfer agents go about as contacts between companies, investors, and administrative bodies by monitoring investment certificates. In the event that a wallet contained security tokens is lost, for instance, the transfer agent can help mint new tokens to supplant the lost securities. By procuring the license, Harbor has the green light to offer service to higher class companies, investors, and offerings.
Trying to turn into a “one-stop-shop” for digital asset issuance, Harbor has done a considerable amount of leg work to get the appropriate administrative licenses. Truth be told, it took more than a year, as per Josh Stein, CEO of Harbor.
“It took the regulators a long time to get a handle on the space and understand it and its implications. This was very new for the SEC and FINRA, and they wanted to do it right,” Stein stated as the company was granted the broker-dealer license.
Harbor previously engaged in a $100 million real estate tokenizing initiative on the ethereum blockchain on behalf of four companies. By tokenizing investor shares, Harbor and more than 1,000 participating investors and placement holders wanted to diminish cryptocurrency management friction.