Imagine a world in which corporate financing is no longer characterized by lengthy negotiations and complex contracts. Christoph Jentzsch, an innovator from Mittweida in Saxony, may have found a solution that makes this scenario a reality. With his project "Tokenize.it", he offers a platform that makes it possible to conclude investments directly via the company's website - simply, quickly and completely legally secure.
The concept behind Jentzsch's approach is "crowdinvesting" using GmbH tokens, which allows continuous capital procurement on the company's own terms. Investors can invest at the push of a button without having to overcome traditional financing hurdles such as legal disputes or individual investment conditions. Traditional investors such as business angels or venture capital companies are also invited to participate.
A legal approach with GmbH tokens
GmbH tokens represent a profit participation right that promises holders not only dividends and liquidation proceeds, but also information rights and the opportunity to participate in company sales on a pro rata basis. This structure puts token holders on an equal economic footing with shareholders.
The tokens themselves are implemented on the Ethereum and/or Gnosis blockchain as ERC20 tokens, which offer additional administration rights for the issuing company. They are also fully compliant with German regulations, as the GmbH tokens are classified as securities and are therefore subject to special laws.
The platform: technology meets user-friendliness
"Tokenize.it" has not only laid the legal foundations - by working with outstanding lawyers and offering free legal templates - but has also developed a user-friendly web app. This takes care of all necessary investor checks (KYC, AML) and enables a fully compliant token issuance in Germany. Investors can invest through simple SEPA transfers and receive the tokens directly into their wallet.
Implications and opportunities
This innovation could fundamentally change fundraising for German GmbHs. The low entry barriers and the ability to make smaller investments from €200 open the door to a broader investor base. The integration into social networks and the ability to start and pause campaigns at any time offer companies maximum flexibility.
Background and history
Christoph Jentzsch has been working on this project for almost three years. The idea was born out of frustration with the existing, inflexible financing models. His team has invested numerous hours to develop a solution that is not only efficient, but also user-friendly and, above all, legally flawless.
This development is a significant step towards the digitalization and democratization of corporate financing in Germany. It enables anyone to become a shareholder in a company and could revolutionize the way companies are financed in the long term.
Source: medium.com
