The Ethereum-based IPO managed $85mn in token sales, and it involved more than 7,200 retail and institutional investors. The other $40mn was raised from private token sales and a pending private placement in Canada equaling CA$39.6mn ($32.2mn) ahead of the company’s listing on the TSXv.
The IPO is unique as it’s the first IPO of a blockchain security token that’s registered by the SEC. “The Securities and Exchange Commission (SEC) has declared as effective its registration statement on Form F-1 filed in connection with the initial public offering (the “Offering”) of up to 130 million INX Security Tokens (the “INX Tokens” or “Tokens”),” announced the company in Aug 2020.
INX aimed to raise $117mn to execute its vision and plans. The company also set itself an initial minimum of raising 7.5mn in dollars and not crypto. After successfully meeting their target, INX began accepting Bitcoin, Ether, and USDC stablecoin as payment methods for their INX tokens. In terms of minimums for investors, INX set a minimum of $1000 for the $0.90 token.
According to INX President Shy Datika, “When we founded INX in 2017, we envisioned a new future of what we called ‘Capital Markets 2.0’…Cryptocurrency exchanges are taking center stage. A revolutionary new technology is being implemented. We anticipate that the majority of financial assets will soon move onto the blockchain.”
“With the successful completion of our IPO, we are well-positioned to execute on our vision to shape the future of capital markets with new and exciting financial instruments – based on blockchain and digital assets. I want to thank our management, partners, community and advisors for making this vision and this journey possible,” he added.
INX claims to have the goal of making investment more inclusive by accommodating investors of all ages and income, and the INX Token sale has helped them achieve this goal.
The institutional and retail investors involved in the IPO were from 75 countries. The international offering of the token was advised by A-Labs Advisory and Finance Ltd. There was also a lot of diversity in terms of age: with 30%, the largest group by percentage was 40-49-year old. Twenty-six percent were 30-39 and 24% were 50-59. The remaining included 11% who were 60+ and 9% who were under 30.
There is also not much to choose when it came to the preferred payment method. Fifty-four percent of the investors used one of the three allowed cryptocurrencies, and 46% used the US dollar. According to INX, over 60,000 investors weren’t able to participate because of Blue sky (Blue sky is a set of anti-fraud regulations designed for the sale of securities.)
INX is a Gibraltar-based company that mainly operates from the US. The trading platform of the company is currently only available to investors, family, and friends. More information about the company and its trading platform is available on its official website.