Amidst a growing governmental debate for the usage of cryptocurrencies, an initiative by the Pennsylvania Department of Community and Economic Development is embracing the revolutionary technology.
Announcing its plans through a press release, Ben Franklin Technology Partners of Southeastern Pennsylvania (Ben Franklin) shed light on its blockchain-based platform.
How is This State Backed Firm Using Blockchain?
The blockchain platform by Ben Franklin Technology is meant to streamline the management for an investment opportunity, the Global Opportunity Philadelphia Fund (GO Philly Fund).
Ben Franklin Technology is the venture capital arm of the Pennsylvania Department of Community and Economic Development. For the GO Philly Fund, the organization will use blockchain technology for onboarding and tokenization.
The fund will then be able to present its new partnerships in the form of GO Philly Tokens. Blockchain technology will also power the fund’s know your customer (KYC) and anti-money laundering (AML) procedures, eliminating the friction associated with these processes.
By tokenizing the fund, Ben Franklin Technology aims to use blockchain to expand and improve its accessibility. With that, it also plans to increase the usage of blockchain itself to determine how it could provide benefits in other aspects of investment process.
For instance, if someone wants to exit their investment, then selling tokens and transferring them may be easier for them than selling traditional investment properties. Similarly, getting in onto an investment this way is also easier for buyers, who don’t have to go through current difficulties in the process.
The GO Philly Tokens are being offered at a price of $0.50, and may be purchased through USD, Bitcoin or Ethereum. They are already live at the GO Philly Fund platform, but they are only accessible for those who can afford a minimum stake of $250,000 or equivalent in Bitcoin or Ethereum.
Which Platform is Being Used for This Process?
Ben Franklin Technology is using Securitize to power the platform.
Securitize serves as a compliance and regulation support platform for the issuance of securities on the platform. Backed by Coinbase, it has helped launch a few tokenized initiatives in the past, including those from Lottery.com, 22X, and Blockchain Capital.
It is slowly emerging as the primary choice for many organizations who want to tokenize their assets while also conducting it a compliant manner.
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