Today on The DIVI Crypto Podcast, we interview Jay Fraser of BSTX. BSTX is building the first blockchain-integrated national securities exchange. Taking a company public can be cumbersome. The benefits for small companies may not be able to outweigh the expenses that are traditionally associated in this process.

Modern technological companies are still going public in the same ways companies did decades ago, through a burdensome and inefficient process. The solution that BSTX offers is using blockchain technology to make an easy exchange with price discovery, with the potential to encourage more issuers to go public in order to reach new investors. Investors benefit with access to previously closely held assets.

BSTX offers potential to improve on all the current incumbent options and offer:

price discovery

corporate governance

investor protection

less complex path to an IPO

This securities exchange is open to all participants and not limited to just accredited and institutional investors, which provides issuers exposure to a greater number and variety of investors.

BSTX is building an innovative way to access capital markets aligned with traditional regulated exchange processes, improving the process for the smaller companies to access public markets.

The joint venture of BSTX, is between BOX Digital, who provides executive leadership and regulatory expertise, and tZERO, who manages ongoing technology implementation, administration, maintenance, and support.

Boston Security Token Exchange LLC (BSTX), a joint venture of BOX Digital Markets LLC and tZERO Group, Inc., has its updated proposed rulebook that has been published by the Securities and Exchange Commission (SEC) and is open for public comment. This rule book is for establishing BSTX as a securities exchange.

BSTX can offer potentially faster settlement, proprietary market data transmitted via blockchain, and better market quality for early stage companies. BSTX proposes the following benefits as an exchange:

Allow participants to elect accelerated settlement for securities listed on BSTX.

Using a private, permissioned blockchain that it maintains and controls, BSTX will make available to exchange participants certain proprietary market data related to trading activity occurring on BSTX.

Finally, BSTX’s filing proposes suspending unlisted trading privileges (“UTP”) in securities that meet the proposed definition of a “thinly-traded security.” This would concentrate liquidity for securities in one national securities exchange, fashioning market making in such securities more attractive, while simultaneously providing earlier stage companies with more market liquidity and a broader pool of public investors.

For more information on BSTX, visit: https://bstx.com/

--

DIVI is creating the world's first closed-loop, vertically-integrated cryptocurrency ecosystem. Much like Apple's ecosystem is anchored by iCloud, the DIVI Project blockchain serves as the core of the DIVI network of technologies. Thanks to a keen understanding of the divide that separates the mainstream from the crypto world, the DIVI team is able to create solutions to the industry's biggest problem: adoption by non-technical users. DIVI's user-friendly, one-click solutions aim to bring blockchain-based payments into modernity with great UX. In this podcast, we will cover all aspects of cryptocurrency, hot topics, and technology as worldwide adoption grows.