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Teufen, Switzerland based financial blockchain corporation Finom AG has announced plans to raise up to $101 million, to create world’s first blockchain-based platform to reduce financial markets entry barriers and provide Artificial Intelligence advising.
Finom stated that its $101 million tokenized equity offering will be executed pursuant to Regulation D of the U.S. Securities Act of 1933.
Finom plans to make the world of finance available to everyone by providing a blockchain ecosystem with a single point of entry. The company’s ecosystem allows anyone to manage digital currency and assets conveniently and in accordance with KYC and AML regulations. Finom will release both a security and utility token. The FIN token, the digital equivalent of four shares of Finom’s common stock, grants its owner the rights of a common stock owner of the controlling entity. The NOM token serves as the internal currency within the ecosystem and gives its holders commission discounts, along with special privileges attached to using Finom bank cards and the Finom advertising system.
Why Reg D?
According to Coin Schedule, so far in 2017, ICOs, or Initial Coin Offerings, have raised more than $3.6 billion in investment in more than two hundred offerings. However, the placement of coins, or utility tokens, does not afford purchasers the same protections available to investors in a securities offering.
By contrast, Finom intends to offer to its investors a security token in a Regulation D offering under the United States Securities Act of 1933. The FIN token will be the digital equivalent of four company shares of Finom.
Among Finom’s holdings are four cryptocurrency companies already reaching 520,000 users worldwide. Finom also owns a mining center Cryptal. The corporation aims to raise up to $101 million through its token sale to create the world’s first blockchain-based platform to reduce the barrier to entry in financial markets and provide Artificial Intelligence advising.
“FIN token holders will be able to receive dividends, notices and the opportunity to vote as a stockholder the way that any equity holder does,” says Kirill Suslov, CEO of Finom and founder of TabTrader.
The quantity of utility NOM tokens is equal to FIN. When purchasing security tokens, each investor gets the same number of utility tokens as a bonus. NOM tokens are expected to be listed on one of the largest cryptocurrency exchanges immediately after the Token sale.
Alexandr Barkovskiy, CTO of Finom, founder of Nanopool, comments:
We digitize assets so that anyone will be able to purchase them regardless of their level of wealth or expertise. The system will adapt to your goals and offer relevant solutions.
The Finom ecosystem will eventually take care of all financial operations including banking integration, payments processing, and factoring performed by different companies. Finom plans to introduce cryptocurrency wallets with linked debit cards, and launch a cryptocurrency bank with a network of terminals by 2020. This would make cryptocurrency circulation and financial transactions with any currency seamless and less costly for users.
“People regularly lose 5-15 percent on commissions. By removing intermediaries, we minimize fees, allowing users to significantly save on transaction costs,” notes Konstantin Karatov, business developer at Finom and founder of Cryptonit exchange.
San Francisco-based SharesPost, a FINRA/SEC registered broker-dealer, investment advisor and Alternative Trading System, is facilitating the Initial Coin Offering for Finom. The FIN token will be available for purchase through a Regulation D offering expected to close on December 30, 2017.