INX Token IPO
INX Trading Solutions
The subscription period for the offering ended on 22 April 2021.
INX Trading Solutions aims to enable the listing and trading of both regulated security tokens and cryptocurrencies for institutional and retail investors.
INX is looking to combine all the promise & potential of blockchain — but in a fully regulated form.
The team consists of traditional capital market veterans and blockchain experts unified by the vision of establishing a new trading ecosystem for digital assets.
More information about the Company can be found under https://www.inx.co
INX is offering 130M security tokens in first ever fully registered SEC prospectus.
Investors in the tokens are entitled to receive pro rata distributions of 40% of the Company’s cumulative adjusted operating cash flow.
Investor downside protection: cash fund will be distributed to token holders upon a failure to launch cryptocurrency trading, an insolvency event, or a change of control.
* assumes the company raises $23.7 million (or the full offering amount) by the end of September 2020.
The INX token has both security and utility benefits for its holders
Any profit share is distributed to a diminishing circulating supply of tokens. This is because as traders spend INX Tokens to reduce their trading costs, 20% of the tokens are transferred into the INX Token reserve, increasing scarcity.
AS A SECURITY
Mandatory Profit Share: Annual pro rata distribution of 40% of the Company’s cumulative adjusted net operating cash flow.
Liquidation Preferences: Pro rata portion of the Cash Fund upon a failure to launch cryptocurrency trading, an insolvency event, or a change of control.
AS A UTILITY
Medium of exchange: Discounts of at least 10% on transaction fees on INX Securities when INX Tokens are used to pay fees.
Staking: Passive Tiered Trading Fee Discount Program on INX Digital based upon the number of INX Tokens held in customers private wallets.
Revenue Generation Timeline
#1 Cryptocurrency trading fees – the main revenue source (100%) at launch, until other activities are operational, with the revenue mix changing over time.
#2 Security token trading and listing fees – will commence upon receipt of the BD/ATS license.
INX is a Gibraltar private company limited by shares, incorporated on November 27, 2017. Approximately thirty percent (30%) of the issued share capital is held by Triple‑V (1999) Ltd, an entity wholly owned by Shy Datika, one of the founders, the controlling shareholder and President. The balance of the issued share capital is held by the employees, lenders, service providers and investors. INX plans to have the following wholly-owned subsidiaries:
INX Digital, Inc., a Delaware corporation, which we intend to register as a money transmitter to operate a trading platform for cryptocurrencies; and
INX Services, Inc., a Delaware corporation, which we intend to register as a broker-dealer to act as an introducing broker and subsequently to operate an alternative trading system for security tokens.
Since 2017, the company invested over $7 million in building a fully-regulated digital asset ecosystem for listing and trading cryptocurrencies, security tokens. The cryptocurrency trading platform is ready to go live within six months after the sale ends supporting both institutional and retail investors. Revenues streams include: Cryptocurrency trading fees, security token listing and trading fees.
INX offers a regulated path for users and issuers on its trading platforms. Regulation is a necessity for institutional investors.
Token holders benefit from diminishing circulating supply of tokens, as 20% of the tokens spent to reduce trading costs are transferred into the INX Token reserve.
Current and future digital assets will be able to trade on INX trading platforms subject to regulatory clearance and will benefit from the attention of, and trading from, both institutional and retail investors.
Token holders benefit from discounted trading fees.
Token holders benefit from increased trading volume on our trading platforms.
Token holders benefit from growth in user adoption.
INX has been developing for the last 2 years a broad digital asset trading suite:
- Buy/Sell crypto (BTC, ETH, LTC, ZEC, BCH) and security tokens and their derivatives.
- Support main order types (Market, Limit, Stop).
- Trade confirmation and reporting tools to continually monitor and manage blotter, positions.
- Technical analysis tools for pre-trading purposes.
- API interface for broker dealers, corporate finance, traders and market makers.
- Industry standard reporting to regulators.
- Blockchain oriented, built for digital asset listing and trading.
INX is an ethereum based ERC20 compliant token that is programmed using a smart contract
INX has a capped supply of 200,000,000 Tokens.
The INX Token smart contract incorporates our Whitelist Database, which restricts the transfer of INX Tokens unless both the digital wallet addresses of the sender and receiver are listed in the Whitelist.
BASED ON USD 117M OF PROCEEDS:
- Approximately USD 47M of proceeds, less offering expenses, to INX operations.
- Approximately USD 70M of proceeds, less offering expenses, to Cash Fund (unique to INX).
- Management undertakes lock-up of 24 months (1/2 released after 12 months).
- Investor downside protection – Cash Fund will be distributed to token holders upon a failure to launch cryptocurrency trading, an insolvency event, or a change of control.
- INX will use the funds to provide superior platforms for cryptocurrency and security token listing and trading.
- Cash Fund
- Exchanges Operations
INX Token IPO
For professional investors from
|Total Investment Volume||USD 117,000,000|
|Min. Investment Amount for EU Investors||EUR 100,000|
|Number of Token offered||130,000,000|
|Principal Amount||USD 0.9 per Token|
|Instrument Type||Hybrid Token|
|Currencies||USD, USDC, BTC, ETH|
|Start Date||26 August 2020|
Interested investors must register and qualify as professional client according to Annex II of DIRECTIVE 2014/65/EU. A professional client is a client who possesses the experience, knowledge and expertise to make its own investment decisions and properly assess the risks that it incurs.
If qualified as a professional client, BMCP will contact you directly.
The information of this Token Offering is exclusively intended for persons who are not located in or resident of certain other restricted jurisdictions, and who are otherwise permitted to receive such information.
According to Article 1 (4) of the EU Prospectus Regulation (Regulation (EU) 2017/1129 of the European Parliament and of the Council of 14 June 2017 on the prospectus to be published when securities are offered to the public or admitted to trading on a regulated market, and repealing Directive 2003/71/EC), there is no obligation to publish a prospectus if the securities are only offered to legal entities or individuals which are “qualified investor” as defined in the Prospectus Regulation.
The information of this Token Offering does not constitute an offer or an invitation to purchase securities in any jurisdiction in which such offer or invitation is not authorised or to any person to whom it is unlawful to make such offer or invitation. Users of this information are requested to inform themselves about and to observe any such restrictions.
An investment involves considerable risks and can lead to the complete loss of the assets invested. In the interests of risk diversification, only those amounts of money should be invested that are not required or expected to be returned in the near future. However, the risk is limited to the investment sum made and there is therefore no obligation to make additional contributions.
The company to be financed is solely responsible for all contents and information provided regarding the offering. BMCP GmbH acts as a pure intermediary and assumes no liability for the accuracy of the provided content. BMCP GmbH works on a success fee basis of up to 4% of raised capital.
Interdisciplinary Team background
THE DISTRIBUTION OF THE OFFER AND SALE OF THE INX TOKENS MAY BE RESTRICTED BY LAW IN CERTAIN JURISDICTIONS. THIS WEBSITE DOES NOT CONSTITUTE AN OFFER TO SELL OR THE SOLICITATION OF AN OFFER TO BUY (AND MAY NOT BE CIRCULATED TO ANY PERSONS) IN ANY COUNTRY, STATE, OR OTHER JURISDICTION WHEN IT IS UNLAWFUL TO MAKE SUCH OFFER OR SOLICITATION IN SUCH STATE OR JURISDICTION. THIS OFFERING IS NOT MADE TO OR DIRECTED AT, AND MAY NOT BE ACTED UPON BY, PERSONS OR ENTITIES IN, OR CITIZENS OF, AFGHANISTAN, ALBANIA, ARGENTINA, BANGLADESH, BELARUS, BOLIVIA, BOSNIA AND HERZEGOVINA, BURUNDI, CENTRAL AFRICAN REPUBLIC, DEMOCRATIC REPUBLIC OF CONGO, COSTA RICA, CÔTE D’IVOIRE, CUBA,
ECUADOR, EGYPT, EQUATORIAL GUINEA, GUINEA, GUINEA-BISSAU, HAITI, HOLY SEE (VATICAN CITY STATE), ICELAND, INDIA, INDONESIA, IRAN, IRAQ, LAO PEOPLE’S DEMOCRATIC REPUBLIC, LEBANON, LIBERIA, LIBYA, THE FORMER YUGOSLAV REPUBLIC OF MACEDONIA, MALI, MONTENEGRO, MYANMAR, NICARAGUA, NORTH KOREA, STATE OF PALESTINE, QATAR, RUSSIAN FEDERATION, RWANDA, SERBIA, SOMALIA, SOUTH SUDAN, SUDAN, SYRIAN ARAB REPUBLIC, TUNISIA, TURKEY, UKRAINE, BOLIVARIAN REPUBLIC OF VENEZUELA, VIETNAM, YEMEN, AND ZIMBABWE, AND ANY OTHER JURISDICTION IN WHICH THIS OFFERING IS, OR MAY BECOME, PROHIBITED (EACH A “PROHIBITED JURISDICTION”).
ACCORDINGLY, NO PERSON OR ENTITY IN A PROHIBITED JURISDICTION SHALL BE ELIGIBLE OR PERMITTED TO, WHETHER DIRECTLY OR INDIRECTLY, SUBSCRIBE, PURCHASE OR ACQUIRE, OR OFFER TO SUBSCRIBE, PURCHASE OR ACQUIRE, ANY INX TOKENS. THIS WEBSITE, THE PROSPECTUS AND ANY OTHER DOCUMENT OR MATERIAL IN CONNECTION WITH THE OFFER OR SALE, OR THE INVITATION TO PURCHASE, THE INX TOKENS MAY NOT BE CIRCULATED OR DISTRIBUTED, WHETHER DIRECTLY OR INDIRECTLY, TO PERSONS OR ENTITIES IN, OR CITIZENS OF, A PROHIBITED JURISDICTION.
Photo by Jonathan Riley on Unsplash