Digital Securities Ratings

Driving transparency and standardization amongst digital assets to foster trust, market efficiency, and comparability. We do this through increasing market coverage, a standardized & comparable rating process, and supplying investors with tools for price discovery.

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Standardized Criteria

We apply the same criteria to each security to insure objectivity. Our evaluations are based on numerous data points with considerations for specific business models, management teams, and industry benchmarks among other considerations that help rank each risk return relationship relative to other available opportunities.

Enhanced Price Discovery

We publish our ratings for free for all to see. We don't charge issuers or exchanges for our basic ratings coverage either. Our goal is to enhance price discovery opportunities in the private markets and educate investors on the nuances of the digital securities market, so each investor can make informed investment decisions.

Increased Transparency

While we consider many factors, a large portion of our ratings criteria is based purely on disclosure of information by issuers. We believe even the best investment cannot be properly assessed without the information to consider.

DIGITAL SECURITIES RATINGS

5+

Digital Ratings Coverage

10

ATS PartnersHIPS

100+

SATISFIED CLIENTS

methodology

How to Value a Digital Security

 In assessing the quality of digital securities, we consider a myriad of factors both quantitative and qualitative. Through our detailed assessments, we arrive at rating from 0 to 10 that represents our objective opinion of investment quality relative to the total universe of investable assets across all industries and regions. To arrive at our final rating designation, we first calculate ratings on several underlying factors (also from 0 to 10).

These factors include a financial score that uses approximately forty unique metrics to evaluate seven primary components of financial health and investment potential for both the subject’s business model and its own individual performance. Other than quantitative considerations we also evaluate the quality of management teams and the extent of information disclosed to investors within our securities ratings.

Industry & Business Model Assessment

We measure factors such as addressable market, capital intensity, profitability, and other crucial factors through dozens of publicly available metrics on over 46,000 companies around the world. These factors and considerations lead to our industry rating which is a component in our overall financial score and final rating. 

Financial Quality Assessment

Using several of the same financial metrics used to evaluate industry level risks and opportunities, we evaluate the quality of the subject’s individual financial health. The combination of the industry and subject financial assessment creates a complete financial rating that considers both the business’ current performance in addition to where the business model is likely to lead.

Disclosure Quality Assessment

One of the key components in our rating criteria is the quality and extent of information disclosed to investors. We hold a firm belief that the quality of an investment opportunity cannot be properly assessed without adequate disclosures. As a result, we adjust our rating based on the level of disclosure to reflect the level of confidence we have in our assessment. This deters issuers from disclosing only positive information, incentivizes increased disclosure and enhances price discovery for investors in the markets we cover.

Where can I find more information on tokenized securities?

We released the first edition of our Digital Asset Handbook. Download your free copy of the e-book.

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