As Originally Published on thetokenist.io
Announced July 1st 2019, Euronext has invested in compliant securities tokenization platform Tokeny Solutions. The investment resulted in Euronext holding a notable 23.5% stake in Tokeny Solutions.
Euronext’s Investment in Security Token Platform Tokeny Explained
Euronext is a leading European securities exchange. The company boasts more than 1,300 users and a €3.5 trillion market cap as of March 2019.
Luxembourg-based Tokeny Solutions is a securities tokenization platform with an aim for compliance. Its open-source T-REX security token standard allows for enforceable compliance across different regulatory jurisdictions.
Now, Euronext has subscribed the entire €5 million capital increase of Tokeny Solutions. As a result, Euronext has a 23.5% stake in Tokeny, along with strong governance representation.
Tokeny aims to assist mid-cap companies, investment banks, funds, asset managers and distributors in the dematerialization of assets on the blockchain.
This allows companies to reach a broader, global audience through security tokens, while continuing to enforce the regulatory requirements associated with traditional financial securities.
While still nascent, the security token industry has already seen $500 million in investments, and real-world assets to include equity, investment funds, real estate, and even fine art have become tokenized using blockchain technology.
Tokeny claims it has conducted several STOs throughout five continents with additional tokenized offerings in the pipeline.
Euronext now has a point of entry into the emerging security token industry, and see’s the investment as an opportunity to “broaden its client base towards private companies and investment firms”.
What do you think of securities exchange Euronext investing in Tokeny? Let us know what you think in the comments section below.
Image courtesy of Euronext.