Tokensoft

What Tokensoft does

Tokensoft is a regulated tokenization infrastructure platform founded in July 2017 in Palo Alto, California by Mason Borda and James Poole. The company provides end-to-end security token issuance and management infrastructure for institutional clients, including token design, smart contract deployment, KYC/AML onboarding, transfer restriction enforcement, custody, and post-issuance cap table administration. Tokensoft's technology is built around ERC-1404, the Ethereum token standard co-authored by the company in September 2018, which is the only token standard used in a fully SEC-registered securities offering and which enforces transfer restrictions at the protocol layer before any transfer executes. The platform supports issuance across Ethereum and EVM-compatible chains including Avalanche, Polygon, and Base, and is offered as a white-labeled, non-custodial system with multi-tenant data architecture.

The product surface comprises a core Tokenization Platform plus modular add-ons: Client Custody (retail investor wallets), Enterprise Custody (air-gapped multi-signature custody, branded Knox Wallet), Transfer Agent Administration (on-chain cap tables), a Compliance Suite, Capital Formation tools, and Campaigns for community growth. The platform processes KYC at a peak throughput of 80,000+ investors per hour and capital commitments of $10M per hour during live raises, and has cumulatively processed more than $1B across 100+ institutional tokenizations covering 150+ countries and 52 jurisdictions. Notable achievements include powering the first SEC-registered security token IPO (INX Limited, $85M raised from 11,700+ investors, SEC effectiveness August 2020) and the first '40 Act fund on a public blockchain (Arca US Treasury Fund / ArCoin, SEC effectiveness July 2020).

Tokensoft operates as a B2B infrastructure provider with an enterprise field sales motion and an API-first delivery model. Revenue is generated from quote-based, multi-year enterprise contracts covering platform services, enterprise custody, and compliance infrastructure; the company explicitly states it does not take a percentage of sales from customers. The customer base spans blockchain protocols and Layer 2 networks (Avalanche, The Graph, Arbitrum, Tezos, Connext, Moonbeam, Acala, Synthetix, Manta, Stacks, Dymension, Overworld) and select enterprises (INX, Arca Labs). Tokensoft is privately held, founder-led, and venture-backed by Base10, Headline, Coinbase Ventures, and F-Prime, with a wholly-owned transfer agent subsidiary (established December 2019) and a minority stake in a regulated broker-dealer (acquired December 2018).

Name

Tokensoft

Legal name

Tokensoft Inc.

Website

https://tokensoft.com

Company type

Private

Founded year

2017

Operating status

Operating

Headcount range

11–50 employees

Short description

Tokensoft provides regulated tokenization infrastructure for institutional clients, enabling SEC-compliant security token issuance, KYC/AML onboarding, custody, and transfer agent administration across Ethereum and EVM-compatible chains. Founded 2017.

Ownership category

akta.pro rank

Product category

Digital Securities Tokenization Infrastructure

NAICS

Securities and Commodity Exchanges (52321), Financial Transactions Processing, Reserve, and Clearinghouse Activities (522320), Securities and Commodity Exchanges (5232)

SIC

Security & Commodity Brokers, Dealers, Exchanges & Services (6200), Security Brokers, Dealers & Flotation Companies (6211)

akta.pro primary industry

Tokenization Platforms (RWA, Securities, Funds) (FSAGAMAA)

akta.pro secondary industries

Tokenized Securities & Capital Markets Infrastructure (equities, bonds, funds, ATS/MTF connectivity) (FSAPAIAD), Compliance, Risk & RegTech for Tokenized Assets (KYC/AML, sanctions, travel rule, reporting) (FSAPAIAH), Digital Asset Custody & Wallet Infrastructure for Institutions (MPC/HSM, key mgmt, policy controls) (FSAPAIAE), Digital Asset Custody & Tokenization Servicing (FSAAAOAO), AML/KYC, KYB & Identity Verification (VASP/Travel Rule) (FSAPAJAC)

Keywords

• Tokenization infrastructure
• Security token issuance
• Digital securities platform
• Blockchain compliance software
• KYC/AML onboarding

Headquarters

HQ city

San Francisco

HQ country

United States

HQ region

North America

Offices1 record

Markets served

GTM type

B2B

Offering type

Software

Cost components

Technology or R&D, Personnel, Operations, Marketing or Sales, Infrastructure

Revenue model

1. Tokenization Platform Services: Platform fees for token issuance, KYC/AML compliance infrastructure, capital formation, distribution, and post-issuance administration. Services Reg D, Reg S, Reg A+, and SEC-registered offerings. The company explicitly states it cannot take a percentage of sales from customers.
2. Enterprise Custody (Knox Wallet): Institutional-grade custody services with HSM integration and offline signing for security token custody.
3. Compliance Infrastructure: Technology platform helping customers scale compliance programs associated with banking and securities regulations. Pricing is quote-based and not publicly disclosed.

Pricing tiers

Go-to-market motion2 records

Distribution channels2 records

Marketing channels7 records

Core offering

Tokensoft provides end-to-end regulated tokenization infrastructure for institutional clients to issue SEC-compliant digital securities on the blockchain. The platform handles token design and smart contract deployment, KYC/AML onboarding with accreditation verification, ERC-1404 transfer restriction enforcement, capital formation, custody, and post-issuance transfer agent administration across Ethereum, Avalanche, Polygon, and Base.

Product overview

Tokensoft is a regulated tokenization infrastructure platform offering end-to-end security token issuance and management. The platform consists of a core Tokenization Platform complemented by modular add-on services: Client Custody for retail investor wallet provisioning, Enterprise Custody for institutional air-gapped multi-signature signing, Transfer Agent Administration for on-chain cap tables, Compliance Suite for KYC/KYB and investor verification, Capital Formation for equity raises and token sales, and Campaigns for community growth. The platform also offers Knox Wallet as its cold storage custody solution. The entire offering is white-labeled, non-custodial, and built on ERC-1404 — the only token standard used in an SEC-registered offering. Tokensoft has processed $1B+ in capital since 2017 across 100+ institutional tokenizations with zero hacks and zero SEC enforcement actions.

Differentiator

Problem solved

Functional benefit

Brands

• Knox Wallet: The first cold storage multi-signature Ethereum wallet built specifically for security token custody, launched in late 2017, featuring air-gapped QR code signing, hardware security module (HSM) integration, and on-chain permissioning.
• Knox Custody
• Tokensoft Client Custody
• Tokensoft Enterprise Custody
• Tokensoft Transfer Agent Administration
• Tokensoft V2

Products and services

• Tokenization Platform End-to-end security token issuance and management platform handling token design, smart contract deployment, KYC onboarding, ERC-1404 compliance enforcement, distribution, and post-issuance cap table administration. Supports equity tokens, debt instruments, fund shares, and stablecoins across Ethereum and EVM-compatible chains.
• Knox Wallet First cold storage multi-signature Ethereum wallet built specifically for security token custody, featuring hardware security module (HSM) integration, offline QR code signing, and on-chain permissioning. Zero hacks in eight years of production.
• Enterprise Custody Institutional-grade multi-signature custody system for security tokens using air-gapped, QR code-based offline signing. The signing device never connects to a network. Includes on-chain permissioning smart contracts, role-based access controls, and atomic on-chain OTC settlement.
• Client Custody Brokerage-style security token accounts for retail investors featuring programmatic wallet provisioning at KYC approval, white-labeled investor portals, and ERC-1404 compliance enforcement at the wallet layer. Enables DeFi interoperability and self-custody transitions.
• Transfer Agent Administration On-chain cap table management replacing traditional off-chain transfer agent databases. The blockchain ledger serves as the authoritative record of ownership. Enforces ERC-1404 compliance on every transfer before execution, automates distributions, and provides audited key ceremony procedures developed through SEC registrations.
• Compliance Suite Token foundation setup and management (invite-only), legal templates, integrated KYC/KYB, accredited investor checks, document signing, and PII data hosting. Automated securities regulations coverage across 52 countries with on-chain cap tables and enforced transfer restrictions.
• Capital Formation Equity raises, private token sales, and public token sales through the platform plus token allocation management tools. Supports Reg D, Reg A+, and S-1 offerings. White-labeled, non-custodial platform processing over $1B in capital since 2017.
• Campaigns Custom invite links, verified socials, notifications, and analytics for community growth through airdrops, ambassador/grant programs, and hackathons. Eligible projects can reach an audience of 3+ million through Tokensoft channels and partners.
• Regulation D 506(c) and 506(b) Compliance Platform founded with expertise in Regulation D compliance, including individual and entity KYC/AML automation for 506(c) and 506(b) offerings.

Quantifiable outcome

• $1B+ capital processed with zero hacks and zero SEC enforcement actions in 9 years of production
• +3 more outcomes

Named customers15 records

Segments3 records

Ideal customer profiles3 records

Technology focussed Yes

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Integration2 records

Feature5 records

Partnerships

Twelve partnerships are on record, tiered core, notable and flagship.

• OnfidocoreTechnology or IntegrationProvides biometric identity verification for KYC pipeline. Used in the investor onboarding process for accreditation verification, biometric checks, and identity verification.
• HalborncoreTechnology or IntegrationPre-deployment smart contract security audits. Part of Tokensoft's annual third-party code security audit program.
• SherlockcoreTechnology or IntegrationPre-deployment smart contract security audits. Part of Tokensoft's annual third-party code security audit program.
• Code4renacoreTechnology or IntegrationPre-deployment smart contract security audits. Part of Tokensoft's annual third-party code security audit program.
• QueueITcoreTechnology or IntegrationQueuing architecture for managing demand spikes during live raise windows. Same technology used by Ticketmaster for high-demand ticket sales. Manages investor inflow during live offering windows.
• DLA PipercoreImplementation/ SI/ Consulting PartnerLegal partner for smart contracts and regulatory compliance. Part of Tokensoft's trusted partner network for legal and smart contract services.
• TezosnotableStrategic or Co-development PartnerIn May 2018, Tokensoft helped Tezos run compliance checks on their 30,000+ user base that participated in token purchase. Launched a bespoke solution within three weeks to help investors claim their tokens.
• SEBA BanknotableStrategic or Co-development PartnerPartnered in May 2020 to launch tokenization services and later tokenize the SEBA series B equity.
• INXflagshipStrategic or Co-development PartnerPowered the first IPO on the Ethereum blockchain with INX, which raised $85M in total. Tokensoft built and administered the tokenization infrastructure for the first SEC-registered security token IPO.
• Arca LabsflagshipStrategic or Co-development PartnerBrought the world's first '40 Act Fund on the Ethereum blockchain to market (ArCoin). First closed-end fund registered under the Investment Company Act of 1940 to issue shares as digital securities.
• HandshakenotableStrategic or Co-development PartnerTokensoft launched its airdrop product with Handshake in 2018 as they concluded a fundraise from A16Z Crypto, Founders Fund and Polychain Capital.
• AvalanchenotableTechnology or IntegrationTokensoft powered the Avalanche token sale which culminated in a $42M fundraise where they processed over $10M per hour without taking custody of funds.

Scale indicators10 records

Recent moves9 records

Expansion highlights5 records

Direct peers

• Securitize: Direct competitor offering an end-to-end platform for issuing, managing, and trading tokenized securities with built-in compliance. Like Tokensoft, it targets Reg D/A+, '40 Act funds, and enterprise security token offerings, and has built out its own transfer-agent and investor onboarding stack.
• Polymath: Security token issuance platform that pioneered ERC-1400-series standards and compliance tooling for tokenized securities. Competes with Tokensoft in offering compliant issuance infrastructure to blockchain projects and issuers.
• tZERO: Security token trading platform and issuance infrastructure focused on regulated digital securities. Competes with Tokensoft on the capital-formation and secondary-trading side of tokenized securities, particularly for issuers seeking ATS connectivity.
• Swarm: Tokenization platform for real-world assets and securities built on Ethereum, with built-in compliance and governance tooling. Competes with Tokensoft in offering regulated issuance infrastructure for funds and asset-backed securities.
• Harbor (BitGo subsidiary): Tokenized securities platform originally built for private fund and REIT issuance, now part of BitGo. Directly competes with Tokensoft in regulated RWA and security token issuance and distribution.

Broad incumbents

• Fireblocks: Institutional digital asset custody, settlement, and tokenization infrastructure provider. Overlaps with Tokensoft's Knox enterprise custody and increasingly competes in compliant token issuance and transfer-agent-adjacent services for large institutions.
• BitGo: Large institutional digital asset custodian and prime broker. Competes with Knox Wallet in enterprise custody and has expanded into tokenized securities services following its Harbor acquisition, making it a broad incumbent in Tokensoft's space.
• Anchorage Digital: Federally chartered digital asset bank providing custody, trading, and staking for institutions. Overlaps with Tokensoft's Knox enterprise custody and serves many of the same institutional issuers and funds.

Emerging players

• Vertalo: Cap-table and tokenization platform for private securities, with investor onboarding and transfer-agent services. Overlaps with Tokensoft's Transfer Agent Administration and Compliance Suite for private market issuers tokenizing equity and fund interests.
• Onchain Custodian: Institutional digital asset custody and servicing provider with transfer-agent and fund-administration capabilities. Competes with Tokensoft's Knox Custody and Transfer Agent Administration offerings for institutional and fund clients in Asia and globally.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat5 records

Key risks7 records

Key highlights7 records

Customer concentration

• Xx.com/tokensoftinc
• GitHubgithub.com/tokensoft
• LinkedInlinkedin.com/company/tokensoft

Revenue estimate

Valuation estimate

Number of profiles

Profiles4 records

Subsidiaries2 records

Funding overview

Funding rounds3 records

Investors5 records

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments2 records

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Tokensoft