TokenSoft Scores SEC Transfer Agent Registration to Build 'Automated Investment Bank'

Crypto startup TokenSoft has obtained a key regulatory seal of approval as it seeks to build an investment bank for the age of tokenization.

A new TokenSoft subsidiary, DTAC LLC, has been registered as a transfer agent with the U.S. Securities and Exchange Commission, public filings show.

They can engage in activities like providing stock transfer services, book entries, order reviews, proxy voting, dividend disbursement and providing reports to fulfill regulatory and tax obligations.

Transfer agents like DTAC can also provide less conventional services, such as assisting parties who lose their crypto wallets.

"We service issuers who are doing both exempt offerings as well as registered offerings, so [this] was a request as well as a necessity," said Mason Borda, CEO of TokenSoft.

"It will be the only transfer agent that can securely issue and manage securities on the blockchain."

Longer-term, Borda hopes to build out a 21st century version of Wall Street's underwriters using TokenSoft and DTAC's registrations, approvals and technology stack.

"We're building all the things you need for an automated investment bank," Borda said.

The company is authorized to provide a number of services around private placements of securities, according to FINRA.TokenSoft, which has provided technology and advisory services for legally-compliant token sales since last year, plans to consolidate existing financial services infrastructure into a single service, such as using a blockchain tool for disbursement procedures.

"With DTAC we are able to provide more streamlined back office services," Borda said.