CoinOffering just become the world’s first registered company to issue its shares as tokens on the Ethereum blockchain.
The Marshall Islands-registered company will operate within multiple fields, ultimately bringing the virtual and legal worlds together for the first time. According to the press release, legally registered companies have the chance to use their services such as shares distribution, pay out dividends, and voting within businesses through an Ethereum smart contract.
The company has based its entire business model around smart contract technology and transparency. They have also made their code available to the public. Other parties are welcomed to use the code on GitHub and create their own contracts.
Ivan Starinin, the CEO of CoinOffering, describes the concept of his company:
“CoinOffering is a real revolution in the blockchain world. We have managed to do something many other companies had tried to achieve – to bring together the legal and the technical worlds. Buying the tokens, you are purchasing real shares in the enterprise and receive all shareholders’ privileges. We make IPO for businesses cheaper and offer extensive possibilities for crowdfunding on a unique exchange.”
Companies have an endless amount of freedom when using smart contracts. CoinOffering explains how the technology can allow more transparency in the corporate world. This will not only ensure more efficient transfers of company shares, but also resolve conflicts through international commercial arbitration.
The company is currently planning to launch its own trading platform allowing other startups to raise money through angel investments or crowdfunding.