A discussion with Douglas Borthwick of INX Limited
This past Wednesday, The Tartan hosted Douglas Borthwick, a Carnegie Mellon University alumnus and the chief marketing and business development officer of INX Limited, a cryptocurrency trading company. Borthwick spoke to students about his robust experience in the finance industry, his perspective on cryptocurrencies and their exchanges, and his advice to the future generation of potential traders.
He opened his talk by touching on his experience in the conventional finance industry. Having worked on both the New York and London Exchanges, as well as at Morgan Stanley and Merrill Lynch, Borthwick is no stranger to the intricacies of the industry. But as time went on and his job in proprietary risk-taking was outlawed, he began looking for new opportunities.
“I was growing tired of foreign exchange,” Borthwick said. “I had to find something new to do, and so I was looking around and figured that the crypto space is very interesting.”
At the time, the cryptocurrency space, however lucrative, had no regulation. This led to companies using initial coin offerings (ICOs) to illegally raise billions of dollars from American citizens. But Borthwick and his now CEO were looking for more regulation.
They spent three years and $3.5 million working with lawyers and the Securities and Exchange Commission (SEC) to create the first-ever digital security that retailers could buy, Borthwick said. INX Limited is also setting up a cryptocurrency trading business and a novel security token trading business.
“People want to have more control over the securities they own, and we have created the exact security to let that happen," Borthwick said. "On the way out the door, the chairman of the SEC, Jay Clayton, said that he could see all assets moving onto the blockchain.”
Borthwick believes that due to the rise of cryptocurrencies, people do not need to use banks anymore. He says that although there is skepticism regarding cryptocurrency, skepticism always follows new technology. He believes there are huge opportunities in the cryptocurrency space, especially for the younger generation since they are constantly exposed to new technology. As he claimed, “When you grasp it and when you jump on it, you can actually do very very well for yourself."
"Believe in yourself," Borthwick said. "Take a view and go with it because there is a huge change about to happen in the U.S. banking system, and you have the power to actually benefit from it.”