NEW YORK, May 13, 2020 /PRNewswire/ — Rialto Markets LLC announced today that its request to engage in private placements and to operate an alternative trading system (ATS) for digital securities has been granted by FINRA.
Rialto has leveraged the technology it had developed for its original ATS which has been in production since 2016. “We’ve worked very closely with regulators for quite some time to assure that we effectively bridge the traditional securities world with digital securities. We continue to believe that this is an important step towards creating a more efficient infrastructure for capital formation and secondary trading of private placements”, stated Shari Noonan, CEO of Rialto. “We are excited to be one of the leaders in this nascent market and look forward to working with all participants to assure its expansive acceptance.”
Rialto applies the intelligence of blockchain technology to offer new capital formation opportunities for issuers, investors, and traders. Blockchain-based smart contracts in the form of digital securities simplify the complexity of capital formation. Digital securities can be applied across the capital structure addressing current friction, exclusivity, and inefficiency in private markets. Noonan emphasized the importance of FINRA’s grant stating “operating within an approved regulatory framework is essential to increase both the depth and breadth of participation in digital securities”.