Plans to support digital securities, tokenized real-world assets, and expanded private-market liquidity
Netcapital, a digital private-capital-markets ecosystem, announced plans to expand its platform to include support for compliant blockchain-based digital assets, amid accelerating interest in tokenized securities and tokenized real-world assets (RWAs) like real estate.
Since 2016, Netcapital’s SEC-registered funding portal, Netcapital Funding Portal Inc., has helped more than 300 companies raise capital under Regulation Crowdfunding (Reg CF). In November 2024, Netcapital Securities Inc. was approved as a FINRA-member broker-dealer to support capital raises under Regulation A+ and Regulation D. Together, these entities provide Netcapital with a strong pipeline of companies and investors for the expanded platform.
In June, Netcapital entered into a software-licensing agreement with Horizon Globex GmbH (“Horizon”), the technology company powering the Upstream market and global trading app. Under the terms of the license, Horizon is developing a blockchain-based platform for Netcapital, paired with a Netcapital-branded mobile application.
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Netcapital is also partnering with Silicon Prairie Holdings Inc. (“SPHI”), which provides critical regulatory infrastructure. SPHI includes a registered broker-dealer, Silicon Prairie Capital Partners (“SPCP”), which operates an SEC-registered Alternative Trading System (ATS) that enables secondary trading of securities previously sold pursuant to exemptions such as REG-CF, REG-D and REG-A and privately issued shares with digital book-entry representation via compliant, auditable order execution, settlement, and recordkeeping. Additionally, Silicon Prairie Registrar & Transfer (“SPRT”) serves as an SEC-registered transfer agent.
By combining Netcapital’s primary-market access, Horizon’s blockchain smart contract technology stack, and SPHI’s regulatory infrastructure, the enhanced platform is expected to enable a wider range of compliant offerings and secondary trading, including security tokens, tokenized RWAs, and offerings under Reg CF, Reg A+, and Reg D.
“We believe that blockchain technology and tokenization present opportunities to enhance global access, transparency, and efficiency in private capital markets,” said Martin Kay, CEO of Netcapital Inc. “Through this initiative, we aim to significantly expand opportunities for capital formation and liquidity for companies and investors.”
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