This article was first published on Polymath Network - Medium
With buying.com’s approval to trade on Openfinance Network (OFN), and issuers leveraging automation with KYC/AML providers to manage their list of approved investors, the timing seemed perfect to demonstrate Polymath’s Whitelist Management Delegation feature.
By popular demand, we launched Whitelist Management Delegation in the Polymath Token Studio in August. With this feature, issuers can share the management of who can and cannot trade their security token; that is, it delegates control and monitoring of the token’s General Transfer Manager. The Whitelist Management Delegation feature can be accessed by issuers in the Compliance page in Token Studio. The cherry on top? It currently costs 0 POLY to use this feature.
Below are a few key scenarios an issuer would use the Whitelist Management Delegation feature:
Use Case #1: Trading on the secondary market
As security tokens reach the end of their jurisdictionally regulated lock-up periods, issuers are preparing for their security tokens to trade on secondary venues. By giving a security token trading venue like OFN permission to manage an issuer’s whitelist, the issuer no longer has to update the whitelist for each secondary market trade — the exchange now has the ability to do that for the issuer. The exchange can run their own script or use our Command Line Interface to manage the General Transfer Manager module, which is the module that allows them to update whitelists.
USE CASE #2: Working with a KYC/AML Provider
Some issuers may find it useful to delegate permissions to their selected KYC/AML provider(s) so that once an investor meets KYC/AML requirements, the provider can update the whitelist on behalf of the issuer. Similar to trading venues with delegated permissions, the delegated KYC/AML provider can run their own script or use our CLI to manage the General Transfer Manager module.
Use Case #3: Sharing permissions internally
To keep reading, please go to the original article at:
Polymath Network - Medium