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Harbor Square Investments earns both broker-dealer and transfer agent licenses in the U.S

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Updated on Mar 11, 2020
Reading time 3 minutes
  • Harbor Square Investments is the first firm to receive both licenses from the U.S SEC.
  • Harbor will act as a liaison between regulatory bodies, investors, and firms.
  • Harbor is committed to helping businesses tokenize their securities.

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Sources from the United States Securities and Exchange Commission (SEC) reported on Thursday that Harbor Square Investments, a popular security token startup, has received another license of a transfer agent from the U.S SEC.

Harbor Has Earned Both The Broker-Dealer And Transfer Agent License

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Almost a month ago, the Financial Industry Regulatory Authority (FINRA) also gave clearance to the startup and granted a broker-dealer license to Harbor. The SEC has declared that the “transfer agent” license is aimed at ensuring that investors receive their dividend and interest payments in a securer, more efficient fashion. With a broker-dealer and a transfer agent license, Harbor has earned the reputation of the first firm in the U.S that currently holds both licenses.

Transfer agents take on the responsibility of liaisons between regulatory bodies, investors, and firms. They are liable to keep a record of investment certificates. In an incident that a security token goes missing from the wallet, transfer agents are capable of replacing them with new tokens. With the newly acquired license, Harbor is now expected to cater to first-rate investors and firms.

Josh Stein, the Chief Executive Officer (CEO) of Harbor declared the startup’s intention of making its name in the crypto market as a “single-platform-delivers-all”; an outlet that meets all requirements of the investors and firms alike for distribution of digital assets. He further added that Harbor’s team has worked diligently with utter commitment to clear all regulatory requirements. It took the startup more than a year to receive the licenses and earn a well-deserved reputation in the crypto market.

After receiving the broker-dealer license from the U.S SEC, Stein remarked:

“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”.

Harbor Is Committed To Helping Businesses Tokenize Their Securities

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Ever since its launch, Harbor has been focused on helping businesses tokenize their securities. Earlier this year in September, Harbor used the Ethereum blockchain to mint tokens that represented as much as $100 million of shares of 4 different real estate funds.

Officials from Harbor have reiterated on multiple occasions that tokenizing securities streamline trading for the investors and broker-dealers alike. It further helps reduce the friction that is commonly attributed to digital asset management.

With broker-dealer and transfer agent license, Harbor is all set to help businesses tokenize their securities and take the world another step closer to an era of digital assets.

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