A medallion guarantee is a specialized signature guarantee used for transferring securities, requiring verification of the signatory's identification by qualified institutions. Only members of specific medallion programs can provide this service, which confirms the authenticity of signatures and the authority to sign on behalf of entities. Recent innovations, like online services such as eSignature Guarantee Group, have emerged to facilitate medallion guarantees, addressing the declining availability of these services among traditional financial institutions.

1. Medallion Guarantees
Medallion Guarantees- A medallion guarantee is a special signature
guarantee used for the transfer of securities. Although from a logistical
standpoint, a medallion guarantee is similar to a notary, in that a person
checks the signatory’s identification and puts a stamp on their signature,
it has far different implications…

2. Medallion Guarantees
• A medallion guarantee is a special signature guarantee used for the
transfer of securities. Although from a logistical standpoint, a
medallion guarantee is similar to a notary, in that a person checks the
signatory’s identification and puts a stamp on their signature, it has
far different implications.
• Only specialized groups such as financial institutions, transfer agents,
or broker dealers can offer medallion guarantee services. Institutions
that offer the services must be part of one of three medallion
guarantee programs, including: (i) securities transfer agents medallion
program; (ii) stock exchanges medallion program; and (iii) New York
Stock Exchange Medallion Signature Program.

3. Medallion Guarantees
• The medallion stamp confirms that the institution providing the stamp is a member of a
Medallion signature guarantee program and is an acceptable signature guarantor. Also,
the group providing the stamp is actually guaranteeing that the signature is not a forgery
but rather is the authentic signature of the person providing such signature. Beyond that
the Medallion guarantee confirms the authority of the individual signatore to sign for a
particular entity, such as a corporate, trust or estate.
• Over the years, fewer financial institutions have been willing to provide a medallion
guarantee, and most require that the person have an account with the financial
institution as a precondition to providing the service. Recently, one internet based
service, eSignature Guarantee Group, offers medallion guarantees through an online
process. eSignature is a member of the Securities Transfer Agent Medallion Program. In
the age of sophisticated cyber-security technology designed to authenticate
identification, the eSignature program is both timely and necessary to the securities
industry. eSignatureGuarantee.com has been a welcome solution for my clients across
the board.

4. Medallion Guarantees