Superstate is excited to announce that we have officially registered Superstate Services LLC (“Superstate Services”), our transfer agent, with the U.S. Securities and Exchange Commission (“SEC”). Superstate is laser-focused on its mission to modernize finance through blockchain technology. This step further advances tokenized securities by integrating within the existing regulatory regime while continuing to enable the speed, programmability, and compliance advantages of blockchain technology.
What is a Transfer Agent?
Transfer Agents provide a core service to both issuers and the security markets. A transfer agent acts on behalf of the issuer to track ownership, issue/redeem shares, and distribute dividends. This service allows for issuers to focus on running their businesses rather than running their cap table. The services provided by a transfer agent facilitate effective governance and ensure shareholder confidence of their share ownership.
Digital Transfer Agents are Critical for Tokenized Shares
As securities continue to migrate onto blockchains, knowing who the shareowners are becomes more critical. Tokenized shares have superior speed and programmability which allow for easier transference and differentiated use cases. To enable these in a compliant manner, it’s necessary to have a clear understanding and tracking of who the shareowner is at all times. This is why Superstate has built a technology-forward digital transfer agent. Superstate Services’s advanced blockchain-integrated record keeping system tracks and monitors onchain ownership and activity in real time, while its smart contract Allowlist creates a seamless permissioned environment ensuring only eligible individuals or institutions may acquire shares. Through this innovative approach, Superstate advances tokenized security compliance while integrating into the existing regulatory regime.
Superstate is Building for the Future
We believe that the security industry’s current infrastructure has not kept pace with technology. While Superstate has developed and launched two of the most advanced tokenized security funds in USTB and USCC, we also are building the necessary infrastructure to support the integration and growth of these Funds into both the existing regulatory regime and the evolving crypto ecosystem.
We are not alone in looking to build for the future. We are encouraged and excited to engage with the SEC’s Crypto Task Force on these services. Commissioner Peirce in her recent “The Journey Begins” and “There Must be Some Way Out of Here” statements, highlighted the important role transfer agents will serve for tokenized securities as additional regulatory clarity emerges.
Initially, Superstate Services will only support our Superstate Funds as we seek to broaden their distribution. But, we aim for Superstate Services to be a crucial enabling service provider to all issuers as more securities become tokenized.