Sygnum Tokenizes Its Shares On A Blockchain In Preparation For Its Upcoming Public Sale
Sygnum Tokenizes Its Shares On A Blockchain In Preparation For Its Upcoming Public Sale
December 15, 2020
Sygnum Tokenizes Its Shares On A Blockchain In Preparation For Its Upcoming Public Sale
Sygnum Tokenizes Its Shares On A Blockchain In Preparation For Its Upcoming Public Sale
December 15, 2020

Sygnum, the Switzerland-based cryptocurrency bank, has tokenized its shares on a blockchain in preparation for its upcoming public sale.

It has been reported that the bank tokenized its shares on the Ethereum blockchain using a proprietary tokenization platform called Desygnate. 

However, the blockchain-based platform issues digital representations of shares and associated legal rights and obligations on a distributed ledger, providing an alternative to traditional capital raising options like an initial public offering (IPO).

In late November 2020, the platform is designed to be fully compatible with the new Swiss distributed ledger technology law which enters into force from February 2021.

Mathias Imbach, the co-founder of Sygnum and CEO at Desygnate, said that Sygnum is the first bank in the world to tokenize its own shares.

Imbach added:

“We are excited to be the first bank in the world to tokenize our shares. This is an important milestone towards fulfilling our mission of creating more direct and efficient access to ownership and value. This includes new engagement models with our clients and partners, and ultimately providing liquidity for our trusted shareholders.”

Likewise, Sygnum aims to simplify a number of processes related to the company’s shares, such as the need for buyers to inform Sygnum to manually update its shareholder registry through this tokenization.

ALSO READ :  Open University Develops COVID-19 Proof-Of-Immunity App With Blockchain

Tokenization also reduces the administrative burden of written form requirements for the transfer of shares between buyers and sellers.

As per the report, Sygnum is currently exploring several strategies for its future public offering, including a potential dual listing with SIX Digital Exchange.

Sygnum claimed to be the first Swiss company to become a crypto bank.

Thus, the bank has been aggressively introducing new crypto services and is the first issuer of a digital franc stablecoin.

Source: Cointelegraph


Disclaimer

Crypto News Point a news platform of Digital Notice Media Labs is primarily a regular publication of information, commentary and articles focused extensively on fintech, blockchain technology, cryptocurrency, blockchain-based tokens, cryptocurrency market trends, and trading strategies. We do not provide individually tailored investment advice and does not take a subscriber’s or anyone’s circumstances into consideration when discussing investments, nor is Crypto News Point registered as an investment adviser or broker-dealer in any jurisdiction. Information contained herein is not an offer or solicitation to buy, hold, or sell any digital assets.

Affiliate Disclosure: To help support the work we do here at CNP, we often link to products and deals from around the web. Should you buy some of these, we may get a portion of the sale.

We in generally gather content from the major websites. In every article there is always a clear link and attribution to the source publication. If you have any issue with any of our published content taken from your site, kindly let us know so that we can take appropriate action. In any case, the content of the pages of this website is for your general information and use only. It is subject to change without notice.

You May Also like

Bitcoin Car Will Be Racing In Indianapolis 500 In May

Bitcoin Car Will Be Racing In Indianapolis 500 In May

Bitcoin car, the car branded with the Bitcoin logo, will be racing in circles against 32 others in this month’s Indianapolis 500. It has been reported by Jack Mallers, the CEO of Zap, that US racing driver Ed...

Ishita Bora

Ishita Bora is a Senior Content Creator at Digital Notice Media Labs with experience of 1.5 years. She has completed her Master's Degree in Language and Linguistics in 2019 from Gauhati University, India. Her interest lies in blockchain technology and cryptocurrency space. She loves writing about blockchain and other blockchain-related articles.