StartEngine, a US equity crowdfunding platform, announced it is now accepting Bitcoin as a form of payment and investment.
According to the company press release, it is the only US funding portal registered with the US Securities and Exchange Commission (SEC) and member of the Financial Industry Regulatory Authority, Inc. (FINRA) that accepts Bitcoin. The new payment method is launched in partnership with Prime Trust, a the leading technology-driven trust company with a focus on securities escrow & compliance, asset protection and custodian for privately issued securities.
The cash is FDIC insured, and all other assets in accounts are insured up to $5 million each.
StartEngine has started accepting Bitcoin on its marketing platform earlier this year by transferring the payments in the cryptocurrency directly to the company, instead of converting it to fiat first. Now users can also use Bitcoins to invest in the companies listed on the platform as seeking funding and willing to accept the cryptocurrency as payment.
Last year StartEngine begane accepting initial coin offerings (ICOs) relying on exemptions from registration under the Securities Act.
“When we began hosting regulated ICOs on our platform in the fall of 2017, we knew there was a market demand for entrepreneurs that wanted to accept cryptocurrency directly. Those entrepreneurs can now accept Bitcoin as a form of payment, and we hope to continue to make our platform more accessible to both entrepreneurs and investors,” said Howard Marks, co-founder and CEO of StartEngine. “We needed to find a qualified custodian in order to accept Bitcoin, and with Prime Trust as our partner, we are now the only regulated entity to accept Bitcoin as a form of payment for securities.”
To date, the StartEngine platform has been used by more than 160 companies to raise capital, including tZERO, one of the largest ICOs to date.
In addition to ICOs, StartEngine offers more “traditional” equity investments in companies seeking to raise up to $50 million. Currently it hosts a little over 100 listings of companies developing an electric truck, renewable energy solutions and healthcare companies. There are also various blockchain companies raising funds.
This article appeared first on Cryptovest
