SAN FRANCISCO--(BUSINESS WIRE)--SharesPost, the leading provider of liquidity to the private growth asset class, today announced that CityBlock Capital will conduct its initial digital security token sale on the SharesPost platform. CityBlock also selected the SharesPost platform to provide secondary liquidity for its tokens.
CityBlock’s NYCQ Blockchain Infrastructure Fund is a venture capital fund exclusively devoted to investing in companies building blockchain based capital markets infrastructure. Portfolio companies are using blockchain technology to instantly settle trades, eliminate intermediaries, and reduce fraud. The fund’s portfolio companies will include clearing houses, exchanges, depositories, makers of market aggregation tools, securities services firms, data analytics, smart contract auditors, and issuance platforms. The NYCQ Fund will not invest in cryptocurrencies or utility tokens. It will invest 90 percent of its capital in early-stage firms, with the remainder in late-stage companies.
CityBlock’s digital tokens will represent ownership interests in the fund. After the initial sale of tokens and expiration of applicable holding periods, investors will be able to buy and sell these assets on SharesPost’s Alternative Trading System (ATS). The SharesPost marketplace connects more than 50,000 institutional and individual accredited investors around the world with companies seeking to raise capital. SharesPost also provides investors with the ability to safely custody their digital securities and conduct compliant trades on the ATS, which is registered with the U.S. Securities and Exchange Commission.
Rob Nance, Co-Founder and Managing Partner of CityBlock Capital, said: “The NYCQ Fund is intended to provide accredited investors with diversified access to blockchain infrastructure investments normally accessible only by institutional investors. CityBlock Capital believes that blockchain technology will deliver a much-needed modernization of the current financial system. SharesPost’s blockchain expertise, world-class technology platform, and global visibility and reach made it an obvious choice for CityBlock Capital.”
“We are very pleased to have been selected by CityBlock,” said Greg Brogger, SharesPost Founder and CEO. “We see a great opportunity for the investors in our marketplace to participate in this next wave of disruption and innovation in the financial services industry. We are also excited to be at the forefront of tokenizing traditional assets like venture capital funds. We will continue to provide token issuers with a complete capital markets solution that includes primary issuance, secondary trading, and the investor relations tools to tell their story to the investment community.”
CityBlock Capital is the second digital security issuer to have selected SharesPost in the past month. In January, Blockchain Capital, another pioneering venture capital firm focused on blockchain technology companies, began trading its security tokens on the SharesPost platform.
For more information, visit CityBlock Capital on SharesPost.
About SharesPost, Inc.
SharesPost launched the online secondary market for private tech companies in 2009 and remains the leading platform for the trading of traditional and digital securities of leading private growth companies. SharesPost provides users with a suite of trading and lending solutions to facilitate shareholder and option holder liquidity. With more nearly $5 billion in secondary market transactions in the shares of more than 250 private technology companies, SharesPost provides the information, analysis and tools to transact in the private market with confidence. SharesPost is a FINRA-registered broker-dealer, SEC-registered Alternative Trading System (ATS) and Registered Investment Advisor. The firm maintains offices in San Francisco, Menlo Park, and New York City. For more information, visit sharespost.com.
Any securities offered are offered by SharesPost Financial Corporation, a member of FINRA/SIPC. SharesPost Financial Corporation and SP Investments Management are wholly owned subsidiaries of SharesPost Inc. Certain affiliates of these entities may act as principals in such transactions.
Investing in private company securities is appropriate only for those investors who can tolerate a high degree of risk and do not require a liquid investment.
Cautionary Note Regarding Forward-Looking Statements
The matters described herein contain forward-looking statements. These statements include, but are not limited to, statements about research on late-stage, venture-backed companies. SharesPost cautions that these statements are not guarantees of future performance. Actual results may differ materially from those expressed or implied in the forward-looking statements. Forward-looking statements involve a number of risks, uncertainties or other factors beyond SharesPost’s control. These factors include, but are not limited to, factors detailed in the white paper. SharesPost undertakes no obligation to release any revisions to any forward-looking statements.
