Securitize Issues Tokenized Securities on Avalanche Blockchain
Securitize, a blockchain firm specializing in tokenization, has begun issuing tokenized securities in Europe. The securities represent equity in the Spanish real estate investment trust Mancipi Partners. Here are the key points:
- Tokenized shares of the real estate investment trust Mancipi Partners will be issued by Securitize on the Avalanche blockchain.
- Secondary trading of the tokenized securities is scheduled to start in September.
- The rollout follows Spain’s approval of Securitize to deploy digital asset securities under supervised conditions in a “sandbox” period.
- Once the sandbox period ends and Securitize receives approval from the European Union Pilot Regime, the firm plans to issue, manage, and trade tokenized securities in Spain and the EU.
- This makes Securitize the first firm to issue and trade tokenized securities in both the U.S. and Europe, under the EU’s new pilot regime.
According to Securitize co-founder Carlos Domingo, European businesses will greatly benefit from this innovation. It provides a new way for businesses to raise capital through primary capital raises and offers potential tax benefits and liquidity through secondary trading. In May, Securitize partnered with asset manager Hamilton Lane to enhance investor exposure to tokenized security offerings.
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Hot Take:
Securitize’s issuance of tokenized securities on the Avalanche blockchain marks a significant milestone for the company and the broader crypto industry. By expanding into Europe, Securitize is opening up new avenues for businesses to raise capital and for investors to access tokenized assets. The approval from Spain’s General Secretariat of the Treasury and International Finance and the upcoming secondary trading on the Avalanche blockchain demonstrate the growing acceptance and adoption of blockchain-based securities. This development further solidifies Securitize’s position as a leader in the tokenization space.
