Introduction to FINMINITY (FMT) — The Most Rewarding, Flexible and One Stop Decentralized Investment Services Platform on Blockchain, for Startups and SMEs
Venture Finance becomes democratized
Crowdfunding and DeFi based Investment services were made for each other, and it’s going to change the way actual capital markets operate. With Finminity (FMT) Token driven ecosystem, our platform helps SMEs to raise funding in a decentralized manner from a community of investors. It is enabled by a DeFi Token Engine which creates regulated tokens on ERC 20 or ERC 1404 for companies that are raising funds. It also has a decentralized Investor Services Platform powered by Finminity DAO for permissioned investor voting for resolutions and statutory obligations.
What does Finminity do?
Finminity is one of most flexible coin issuance marketplace where DeFi firms can define their raise, configure their tokens issuance terms and investors can invest with with an integrated KYC.
Why Would Someone Want to Use Finminity’s Platform?
Finminity allows companies to do asset token mapping, put the company pitch onboard for investors to see and invest, ERC 20/1404 standard Token Creation and Allocation to investors and then provide ongoing investor services. This token engine also has integrated the KYC check of the company and investors .
But that is generic for other Token Sales Platform? What is unique in Finminity?
Our token Investors gets Investment liquidity and earn interest as their funds are only disbursed after successful milestone achievement as agreed during the fund raise.
Token holders within the platform can also take part in community voting for company rating, resolutions and stake their FMT tokens for governance.
Liquidity has been a problem for general Crowdfunding Platforms, as Investor would like to trade the tokens after a vesting period to other investors and make money out of it, just like normal Stock IPOs or ICO’s they participate in. While we have partners where our tokens are listed for easy swap, we also have a P2P Marketplace where buyers can sell these tokens to others in the investor community to get liquidity.
The other important one stop function that Finminity provides to firms that raise money is that through a DeFi aligned Investor Services module, Investor Resolution Management and Voting, Milestone based Escrow and Payments, Dividend Distribution. Even Bankruptcy management is done when a company fails, thereby saving investor money. While this helps the firm to be compliant with the investor obligations, Finminity gets a recurring fees for these services provided.
How do we bring security in the investors mind?
Firstly we provide investor risk management so that companies can’t run away with investor money. We have Blockchain escrow and Milestone based payments which stops fraud and forces companies to work to get the funds lying in the escrow/client money account.
Secondly we have Blockchain based Voting so that Investor can vote for company resolutions and Annual General Meetings. We have also enabled proxy voting where investors can delegate the vote to be given by a trusted associate and earn money.
Our vision is to bridge the funding gap of entrepreneurs during the early stage of their company, so that retail investors can participate early stage startups and get a chance to investment in next Unicorn even with a small amount. And that too in a regulator compliant manner.
Investment banking services is best suited for DeFi
Banking is regulated and hence tough to build in a decentralized manner. This kind of services has to be CeFi. But investment banking is semi-regulated, works on network, referral, verification and business logic of matching investor with clients. Finminity provides the same DeFi benefits and we can prove that IB is best suited for DeFi, in the new hybrid finance (HyFi) world order.
