Bitfinex Securities to List First Tokenized Bond in November
Bitfinex Securities, a platform dedicated to listing real-world tokenized securities, has announced that its first tokenized bond, ALT2611, will be listed in November. This 36-month bond offers a 10% coupon and utilizes Blockstream’s Bitcoin layer-2 solution, Liquid.
ALT2611 Denominated in USDT Stablecoin
The tokenized bond ALT2611 is denominated in USDT stablecoin and is issued by Mikro Kapital, an impact finance and microfinance group based in Luxembourg. Paolo Ardoino, the CEO of Tether, confirmed this information in a tweet. He also stated that the listing of this bond represents a new era for capital raises through deep liquid markets and stock/fond markets.
Focusing on Micro-Financing Companies
ALT2611 focuses on acquiring risks linked to debt and equity of micro-financing companies, small financial institutions, leasing firms, banks, or credit cooperatives that provide financing services to micro-, small-, and medium-sized enterprises and entrepreneurs. The initiative extends to regions such as Italy, Romania, Moldova, and emerging nations along the Silk Road.
Trading Details and Legalities
The tokenized bond will start trading at a price of 100 USDT with a minimum investment amount of 125,000 USDT. The security distribution will take place within one week following the completion of the capital raise. The bond has a maturity period of three years after issuance and will be governed by the law of the Grand Duchy of Luxembourg. However, it is not available to US citizens or individuals located within the United States or any other jurisdiction where it would be deemed unlawful.
Bitfinex Securities Signs MoU with Mikro Kapital
Less than a month ago, Bitfinex Securities signed a Memorandum of Understanding (MoU) with Mikro Kapital to explore projects involving tokenizing, listing, and trading debt securities. They also aim to assess the use of USD-backed Tether tokens and Euro-backed Tether tokens for capital raising and microfinancing. This collaboration reflects the increasing demand for tokenized investment opportunities in the global microfinancing market.
Hot Take: Tokenized Bonds Pave the Way for New Investment Opportunities
The listing of the first tokenized bond by Bitfinex Securities marks an important milestone in the world of capital raises. By leveraging blockchain technology and stablecoins, investors now have access to deep liquid markets and stock/fond markets. This innovative approach not only opens up new investment opportunities but also facilitates microfinancing solutions in emerging markets. As tokenization continues to gain traction, we can expect to see more traditional assets being digitized, bringing greater efficiency and accessibility to the financial industry.
Owen Patter is a distinguished crypto analyst, accomplished researcher, and skilled editor, leaving a notable imprint on the cryptocurrency landscape. As a proficient crypto analyst and researcher, Owen delves into the intricate realms of digital assets, offering insights that resonate with a diverse audience. His analytical acuity is harmoniously paired with adept editorial skills, allowing him to transform complex crypto information into easily comprehensible content.