GBX - Gibraltar Law and the First Regulated Token Exchange
As we discussed before, a new way of raising funds through ICOs and token sales gave many budding startups an opportunity to attract investments ensuring their further development and growth. While the token economy and all the surrounding it ecosystem proved to be something that actually works, this field is still riddled with multiple problems related to the lack of legal mechanisms, regulating token sales and exchanges. This makes token and cryptocurrency trade a risky business because there is no way to tell whether some particular token exchange or particular traders are reliable and honest. And there are no rules in place, preventing anybody in this field from cheating. If some token exchange disappears with all its users' funds, there is no way they can recover their funds, and they have nobody to complain to. There were precedents when people who lost their money on exchanges tried to file legal complaints, but according to authorities examining their appeals, they could just as well file their complaints to the UN Commission on Human Rights. In most countries, there are no laws regulating cryptocurrency and token exchanges.
One of the common preconceptions related to crypto and token spheres is that traditional financial institutions want nothing to do with them. It's not actually the case. The problem is that banking and financial organizations are accustomed to work in the environment thoroughly regulated by law. One of the examples, when a financial company decided not to wait for the eternity until all the respective regulations regarding crypto and tokens are in place and instead jump right into the fray, is GBX. GBX or Gibraltar Blockchain Exchange is a subsidiary of the financial company Gibraltar Stock Exchange (GSX) The project is aimed at creating a trading platform for digital assets like cryptocurrencies, tokens, and tokenized securities. The key difference with the existing token exchanges is that this platform, functioning under the jurisdiction of Gibraltar, is going to be strictly regulated by a set of rules and principles based and enforced by Distributed Ledger Technology (DLT) regulation, established by the Government of Gibraltar in order to bring some order in this sphere. This gives all the platform's participants a high degree of security and protection against fraud, guaranteed by law. The GBX platform enforces strict procedures regarding ensuring the reliability of its participants as well as compliance with AML/KYC requirements of many financial and governmental institutions.
In February 2018 GBX conducts a token sale of part of its supply of 900,000,000 Rock Tokens (RKT). The minimum sale target is USD 10,000,000
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Hi @cryptotaofficial!
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