Regulation D Resources Enterprises, Inc. ("RDR") located in Lakewood, Colorado, has announced they are launching offering preparation services for Security Token Offerings
FOR IMMEDIATE RELEASE: February 19, 2019
Regulation D Resources will begin providing services for the preparation and execution of Security Token Offerings (“STO”) on February 19th, 2019. Regulation D Resources, with a 20 year track record of executing securities offerings under the Regulation D exemption, now provides offering preparation services for STO issuers.
Initially executed as “coin offerings”, the Securities and Exchange Commission has deemed that coins or tokens that contain investment features are to be treated as securities and, thus, need to be sold through a proper securities offering.
"Utilizing the Regulation D exemption is the most straightforward path to execute a Securities Token Offering and remain in compliance with Federal and State securities rules" said Douglas Ruark, a Principal with Regulation D Resources.
RDR's services for the preparation of an STO offering encompass the following:
- Private Placement Memorandum preparation
- SEC and State Filing preparation and filing support
- Providing assistance in the development of the Token capitalization structure
- Setting the investment terms associated the Tokens
- Providing assistance in understanding the parameters needed for the Smart Contract
- Providing access to and assistance working with RDR's third party managed partner platform for the execution of the token launch onto the blockchain
"Based on our current fee structure, a Regulation D Resources client can have the STO offering prepared, PPM documents developed, and the tokens launched onto the blockchain for approximately $10,000 which is a significant reduction in the fees typically associated with an STO" said Douglas Ruark.
Security Tokens typically have revenue sharing features, dividend features, and other investment terms assigned to them through the offering and the associated Smart Contract. Further, Tokens can also have utility features that, for certain companies, may allow the holder to use the Token as payment within the company’s eco-system or allow it to be used to redeem services.
Regarding exemption choice, Mr. Ruark commented, "Most clients typically use the Regulation D 506(c) program which will allow for general solicitation of the Token offering through social media channels and direct advertising."
Interested parties may contact Regulation D Resources at (303) 984-4883 to learn more about launching an STO and the services offered by RDR.
For more information contact (303) 984-4883 or visit www.regdresources.com
About Regulation D Resources Enterprises, Inc.
Regulation D Resources Enterprises, Inc. (“RDR”) began operations in 1999 and specializes in developing and providing execution support for Regulation D exempt securities offerings. The Denver, Colorado based company provides a full complement of Regulation D offerings, as well as support services designed to assist small and medium size companies with the development and execution of a Regulation D exempt securities offering. In 2015 RDR launched a secondary service that provides a sophisticated online investor promotion and subscription compliance portal application. The investor portal application provides a front-end website to promote a 506(c) based offering which marries to the compliance back-end that handles all subscription and compliance processes related to the securities offering.