working to integrate tokenized securities into defi for public, retail, and worldwide use in a regulated (e.g. SEC-registered) way
working to integrate tokenized securities into defi for public, retail, and worldwide use in a regulated (e.g. SEC-registered) way
The goal of the Digital Securities Initiative is to help companies, regulators and lawmakers answer the tough questions standing in the way of tokenizing securities in a safe and sound way.
If it were just up to the industry, publicly traded stocks and bonds would be substantially tokenized by now. But there are legitimate questions about the new problems it would likely create.
For instance: private keys can be lost. Should the law require that security token issuers re-issue tokens to users who lose their keys? What if the tokens are co-mingled in a DeFi smart contract and a user loses their keys for a position within that contract? What if that user was a fraudster who was lying about losing their keys in order to get out of an obligation defined within that smart contract?
There are several tough questions like this having to do with KYC, finality, cross-jurisdictional use, sanctions, and so on.
As for what purpose it would serve to tokenize securities, some see it as obviously a good thing, while others see it as fixing what isn’t broken. We see “why do this at all?” as an important question as well.
We’re here to put in the thousands of hours it will take to sort through these questions, do relevant background research, and formulate concrete proposals for how a new blockchain-based securities ecosystem ought to work.
We have no incorporated entity or member dues required to participate. Contributing organizations sponsor their own team members or pay consultants to spend time on the initiative when it is in their interest.
There is no application to join; you can just start talking to us and if you’re helping us along with our goals we’ll include you in more meetings and communication channels.
For a better understanding of where we are coming from and what we are trying to do here, check out our 15-minute intro talk:
Who we are
The Digital Securities Initiative is an open collaboration with no incorporated entity or member dues required to participate. Contributing organizations sponsor their own team members to spend time on the initiative when it is in their interest.
It was started by Confusion Capital, which is involved in the Reserve project. Reserve has a vision that depends on securities being available within DeFi, but is not itself involved in security tokenization and has no financial interest in any security tokenization company.
To learn more, read our introduction.
Who we are
The Digital Securities Initiative is an industry-wide collaborative effort with no incorporated entity or member dues required to participate. Contributing organizations sponsor their own team members to spend time on the initiative when it is in their interest.
It was started and is led by Nevin Freeman, who is part of the Reserve project, which has a vision that depends on securities being available within DeFi, but is not itself involved in security tokenization and has no financial interest in any security tokenization company.
To learn more about the initiative and who is involved, read our introduction.