The future of finance is here—tokenization of public company shares is now a reality! On Apr. 3, INX, a leading tokenization platform, launched its first security token issued by a public company, marking a revolutionary moment for the world of traditional finance. The token represents shares of Greenbriar Capital, a public U.S. over-the-counter (OTC) and Toronto Stock Exchange-listed company that develops entry-level housing and green energy products.
The launch of tokenized public company shares on a public blockchain network signals a turning point in the world of tokens and financial services. Companies have often tried to avoid having their tokens classified as securities, since this designation requires certain rules, guidelines, and disclosures to government bodies like the Securities and Exchange Commission. Tokenization of securities, though, is set to bring greater transparency, efficiency, and accessibility to the traditional financial industry.
At the same time, government bodies are taking strong steps towards the promotion of tokenized asset and securities trading. In Hong Kong, the government issued 800 million Hong Kong dollars (roughly $100 million) in tokenized green bonds under its Green Bond Programme in February. The bonds were underwritten by four banks and priced at a yield of 4.05%, marking a successful issuance of tokenized securities.
In addition to the public sector, private banks are beginning to get involved in tokenization as well. Cité Gestion, an independent Swiss private bank founded in 2009, is partnering with digital asset firm Taurus to issue its tokenized shares. Moreover, investment management firm Hamilton Lane (HLNE) is tokenizing three of its funds in a partnership with digital asset securities company Securitize.
INX, which launched its first security token issued by a public company, currently charges a $25 commission for each token purchased to cover Ethereum gas fees. According to the platform’s help files, INX security tokens exist on the Ethereum network and conform to the ERC-1404 restricted token standard. INX also offers traditional cryptocurrencies such as Bitcoin (BTC), Ether (ETH), Zcash (ZEC), and others.
The possibilities made available by tokenization of securities have the power to revolutionize the traditional banking industry. As governments and private enterprises adopt tokenized settlement processes, the world is rapidly transitioning to a future of financial inclusion, which will bring accessible and transparent services to those previously excluded from traditional finance.
So, take a step forward and join the world of asset and securities tokenization now! Investing in tokenized public company shares from the comfort of your home is possible with INX, unlocking a new level of accessibility and convenience. Don’t miss out on the future of finance – act now and open a window to the new world of trading!