The African continent has taken a significant step towards making their mark in the future.
Late last week, tech startup Raise, and a Kenyan law firm known as Anjarwalla & Khanna (A&K) collaborated to release Africa's first security token framework.
A press release announcing the landmark framework confirmed that it would include key regulations needed to bring the STO industry under control including contract templates, technological standards for developers and legal definition of different aspects of the fundraising mechanism.
While announcing the new deal between Raise and A&K which makes the framework possible, Raise co-founder and CEO Marvin Coleby spoke about the potential that will be unlocked by the move.
He told the audience at Business Africa Forum, Cairo 2018,
“Clear frameworks for digital securities can unleash innovation in the security token space and enable SME financing and liquidity for private markets on an unprecedented scale.”
The new regulatory framework will now be rolled out through the African Digital Asset Framework (ADAF), an open-source platform dedicated to the development of industry-specific blockchain standards for Africa.
It is targeted at giving law firms, entrepreneurs and policymakers a clear understanding of how Security Tokens can be harnessed to build a bigger African Economy.
Africa is Ready For The STO Future
With 2019 being marked as the year of security token offerings, there is little doubt that with the new self-regulatory framework, the region looks ideally placed to compete with their more illustrious European and Asian counterparts.
It also marks a significant headway in the state of crypto regulation in Africa, and the road should be clear from this point onwards.
We also reported earlier that following a call-out for crypto regulation in Nigeria, a pro-blockchain presidential candidate is going to contest in country's 2019 general election and will hope to lead the African Giants to blockchain success.
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