Imagine a world where you can invest in stocks from anywhere (without big hidden fees), settle trades instantly, and earn interest on your holdings.
Most investors trade through a broker. But US brokers systematically introduce nine expensive, slow middlemen.
We let investors trade directly on a company’s books so they can save ~0.5%/year in slippage. [1]
How we’re different
A normal US stock trade today looks like this:
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[2]
These middlemen all charge a small spread or fee that you ultimately pay.
When a company goes public, they hire a transfer agent to keep a list of investors.
You might use one if you have book-entry shares via a direct share purchase plan or employee stock options.
Transfer agents let investors execute private trades:
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Simple, yet nobody does it.
If you want to trade with old transfer agents, you have to:
- Print and fill out a ten-page “stock power” form
- Go to the bank with two valid IDs
- Meet the other person you’re trading with, who also needs two valid IDs
- Bring account statements from the transfer agent for both people
- Often drive to a different bank branch with the proper signing authority
- Have a banker painstakingly review and endorse all your documents
- Snail mail the forms to the transfer agent [3]
Outside first-world countries, these authorizing banks are quite scarce. So, investors have to pay hundreds of dollars for remote guarantees. [4]
Our solution
We use Stellar assets as a company's official books so you can transfer shares with the click of a button in your wallet.
That means you can freely trade on the SDEX, vote shares via memos, and receive on-chain dividends, fully transparently!
Regulation
We've been registered as a transfer agent with the US Securities and Exchange Commission for over a year. [5] Most of what we do is based on highly-upheld laws passed in the 1990s for dematerialized stock. [6][7] By working directly with share issuers, we undermine forced middlemen fees since all brokers are just listed as an omnibus entry on the company books. [8]
Built With
- figma
- python
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