Digital Finance: Security Tokens and Unlocking the Real Potential of Blockchain

Length: 208 pages
Edition: 1
Language: English
Publisher: Wiley
Publication Date: 2020-12-03
ISBN-10: 1119756308
ISBN-13: 9781119756309
Sales Rank: #399357 (See Top 100 Books)

Praise for Digital Finance

“Digital Finance was helpful in articulating questions the reader potentially didn’t know they needed to ask. Hines explains complex terms in a way that is digestible for anyone with a basic business background. The conceptual explanations were also concise and intentional, covering just what I wanted to know to have a solid understanding of a tokenized ecosystem and why there may be advantages found in decentralized finance vs. traditional lending.”
―Kathryn Carlisle, Senior Managing Director, Blockchain Center for Excellence, University of Arkansas

“Baxter does a terrific job explaining the revolutionary technologies that are affecting the financial industry and shows just how transformational those will be in the coming wave of digital finance. This book is a must for those who want a better understanding of how blockchain is going to improve the financial industry.”
―Jake Ryan, author, Crypto Asset Investing in the Age of Autonomy; CIO, Tradecraft Capital

“Digital Finance provides a comprehensive review of the security token marketplace and provides a powerful vision of what to expect in the coming years as blockchain transforms finance. The chapter on DeFi points to a massive emerging market as the transaction efficiency of security tokens meets the scale and transparency of DeFi self-processing assets―the true antidote to prevent a repeat of the 2008 Global Financial Crisis. This book is perfect for the blockchain novice or expert with straightforward examples to support a thorough analysis of the rapidly evolving digital finance market.”
―Dan Doney, Chief Executive Officer, Securrency

“Educate yourselves on the future of finance! Digital tokenization of securities is bringing in new investors and issuers, democratizing access to capital. Baxter’s book is a must-read for anyone who wants to get ahead of the curve.”
―Spencer Dinwiddie, NBA All-Star; Founder, DREAM Fan Shares

“Don’t let complicated words like blockchain and tokens prevent you from learning about the future of finance. Capital markets are being transformed right before our eyes, and Baxter details exactly how that is happening on a molecular level.”
―Kyle Sonlin, host, The Security Token Show

COVER
TABLE OF CONTENTS
TITLE PAGE
COPYRIGHT
DEDICATION
DISCLAIMER NOTICE:
ACKNOWLEDGMENTS
PREFACE
INTRODUCTION
    Opening Remarks – The Big Picture
    Disruption of Investment Industry
    Legacy Ways of Doing Business
    Paper Securities & The New Alternative
    Entering the Disruptive Phase for Digital Assets
    Introduction Summary
    Notes
PART I: THE MAGIC LEDGER
    CHAPTER 1: BLOCKCHAIN BASICS
        What Is Blockchain?
        Foundational Elements of Blockchain
        Distributed Ledger Technology
        Building a Blockchain
        Creating a Blockchain Transaction
        Tampering with a Blockchain
        Smart Contracts
        Oracles
        The Characteristics and Benefits of Blockchain
        What Differentiates One Blockchain Platform from Another?
        Chapter Summary
        Notes
    CHAPTER 2: FUNDAMENTALS OF A SECURITY TOKEN
        Distinguishing the Types of Digital Assets
        How Security Tokens Came Along
        Tokenizing a Security
        Code Is Law
        Benefits of Tokenization
        Chapter Summary
        Notes
    CHAPTER 3: WHAT TYPES OF ASSETS MAY BE TOKENIZED?
        The Move Toward Tokens Backed by Assets
        Stablecoins
        Asset‐Backed Tokens
        Fixed Income, Equity, and Funds Tokens
        Industry Trends: Alternative Financing with Security Tokens
        Industry Trends: Unlocking Private Equity Fund Liquidity
        Employee Stock Options
        Chapter Summary
        Notes
    CHAPTER 4: SECURITY TOKENS WILL MASSIVELY DISRUPT AND VASTLY IMPROVE MARKETS
        Industry Trends: Lowering the Cost of Money Transfers
        To Tokenize or Not to Tokenize?
        Chapter Summary
        Notes
PART II: CREATING THE DIGITAL WRAPPER
    CHAPTER 5: KEY FEATURES OF A SECURITY TOKEN
        Security Administration
        Compliance
        KYC & AML
        Accounting and Reporting
        Safety Mechanisms
        Chapter Summary
    CHAPTER 6: THE SECURITY TOKEN ECOSYSTEM
        Fintech Companies
        Protocols
        Issuance Platforms
        Advisory Services
        The Token Stack: Putting It All Together
        Chapter Summary
        Note
PART III: REALIZING THE POTENTIAL OF SECURITY TOKENS
    CHAPTER 7: REGULATION OF DIGITAL ASSETS
        A Regulatory View From 50,000 Feet
        How Regulators Might Respond
        Jurisdictions
        Countries at the Forefront of Adoption
        Key Countries
        Industry Trends: Central Bank Digital Currencies
        Chapter Summary
        Notes
    CHAPTER 8: MARKETS FOR DIGITAL ASSETS & SECURITY TOKENS
        Trading & Finding Liquidity
        Developing the Primary Markets
        Bringing the Token to Market
        Developing Secondary Markets
        What Is Needed for Tokenization to Thrive?
        Jurisdictions
        Alternative Trading Systems
        Special Considerations Around Private Assets
        Settlement and Clearing
        Settlement Risk
        Where These Markets Are Going
        Industry Trends: Stock Exchanges & Distributed Ledger Technology
        Chapter Summary
        Notes
    CHAPTER 9: “DeFi”: eLENDING AND THE FUTURE OF GETTING A LOAN
        Crypto Lending & Borrowing
        Earn Interest on Crypto
        Making Loans with Blockchain
        Mortgages
        Chapter Summary
        Notes
    CHAPTER 10: DIGITAL ADOPTION
        Where We Are Today
        Cryptocurrency Adoption
        Demographic Synopsis
        Interest by Country
        Historical Perspective: Internet Adoption
        The Next Wave of Users
        Millennials
        Institutional Investors
        Hurdles for Tokenization
        Privacy
        Quantum Computing
        Chapter Summary
        Notes
CONCLUDING THOUGHTS
    Need for Education
    Industry Trends – Creating a Cashless Society: The Rise of Mobile Payments in Asia
    Ant Financial
    Who Will Succeed in This Race for Blockchain Dominance – Notes of Caution
    Big Fish, Little Fish, and the Mighty Whales
    Historical Perspective: Titans of the Dot‐Com Boom, Where Are They Now?
    Never Forget, It's All About the Investment Proposition
    Conclusion Summary
    Notes
ADDITIONAL RESOURCES
    Sites for Digital Asset News:
    Podcasts and YouTube Media:
    Leading Organizations on Blockchain and Digital Finance:
    Cryptocurrency Exchanges:
    Decentralized Finance, or DeFi, Offerings:
ABOUT THE AUTHOR
INDEX
END USER LICENSE AGREEMENT