Page 81 - FIGI: Security Aspects of Distributed Ledger Technologies

411 Finma (2018) Guidelines, available at https:// bit .ly/ 2BzA88M
412 ibid.
413 Strategic Coin (2018) The Difference Between Utility Tokens and Equity Tokens, available at https:// bit .ly/ 2TIbiKy
414 Strategic Coin (2018) ICO 101: Utility Tokens vs. Security Tokens, available at https:// bit .ly/ 2GKRa6T
415 US SEC (2018) Two ICO Issuers Settle SEC Registration Charges, Agree to Register Tokens as Securities, available at
http:// bit .ly/ 32B2c6z
416 Adapted from Perlman, L (2019) Use Of Blockchain Technologies In The Developing World, available at www .ssrn .com
417 De Soto, H (2000) The Mystery of Capital: Why Capitalism Triumphs in the West and Fails Everywhere. Basic Books.
418 Consumer’s Research (2015) The Promise of Bitcoin and the Blockchain available at https:// goo .gl/ MzCGyh.
419 This formalization of property provides a great many additional benefits, such as establishing the basis for legal
protections for land ownership in the country, greater transparency within the economy, and the ability of landowners
to participate further in the formal economy by using their land as collateral for financial products such as loans.
Consumers Research (2015) ibid.
420 Coindesk (2016) Republic of Georgia to Develop Blockchain Land Registry, available at https:// goo .gl/ vZgGSi.
421 Bitcoin (2016) Bitland: Blockchain Land Registry Against Corrupt Government, available at https:// goo .gl/ gAVjGK;
Coindesk (2016) Sweden Tests Blockchain Smart Contracts for Land Registry, available at https:// goo .gl/ YhNDSZ.
422 https:// banqu .co/ case -study/
423 Sierra Leone was chosen as it only has one credit bureau that serves 2,000 people, or less than 1 percent of the
country’s total population, while 80% remain unbanked. CoinDesk (2018) Sierra Leone to Develop Blockchain-Based ID
Platform With UN Partnership, available at http:// bit .ly/ 2Y2jRjX
424 CoinDesk (2018) Sierra Leone to Develop Blockchain-Based ID Platform With UN Partnership, available at http:// bit .ly/
2Y2jRjX
425 This enables those countries very low liquidity in their domestic currency to trade globally without having to buy and
hold USD or Euros and bypass the SWIFT network.
426 Perlman, L (2019) Regulation of the Financial Components of the Crypto-Economy, available at http:// bit .ly/ 32m12vB
427 According to ConsenSys, Project i2i’s solution consists of a web API and a blockchain back-end. The API allows
a bank’s API and/or core banking system to connect to the blockchain back-end. The connection handles key
management and allows participants to construct and send signed transactions to the smart contract running on a
permissioned Quorum blockchain deployed through ConsenSys’ Kaleido platform. Signed transactions instructed
through the API trigger three key functions of the smart contract: Pledging digital tokens corresponding to the
Philippine Pesos held in an off-chain bank account; Redeeming the digital tokens; Transferring the tokens among
users of the platform. See ConsenSys (2018) Project i2i: An Ethereum Payment Network Driving Financial Inclusion in
the Philippines, available at http:// bit .ly/ 2Z0IZJc
428 According to Santander Bank, blockchain could reduce banks’ infrastructure costs attributable to cross-border
payments, securities trading, and regulatory compliance by between USD 15-20 billion per annum by 2022. CoinDesk
(2016) Santander: Blockchain Tech Can Save Banks $20 Billion a Year, available at https:// goo .gl/ QHWN7Y,
429 DFS providers in Tanzania used this bilateral interoperability mechanism.

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