This initiative aims to enhance connections between issuers and investors by offering tokenization services. The new team will support investments in tokenized real-world assets, providing a user experience similar to that of crypto-native assets. This approach is intended to give investors greater control and visibility over their investments.
According to the official press release, tokenization offers several advantages for both issuers and investors. It reduces traditional investment barriers and costs, making smaller investments feasible and expanding access to a broader investor base. Additionally, tokenization enables investors to diversify their portfolios by accessing high yields from both on-chain and off-chain sources, creating a varied investment market.
Tokenized assets are easily distributed globally, similar to cryptocurrency transfers, which can potentially simplify the process of sending assets and associated cash flows, such as dividends or coupon payments. Tokenized assets in standardized formats, such as ERC-20, can be integrated into existing on-chain liquidity mechanisms, facilitating immediate secondary market trading on decentralized exchanges.
XBTO’s tokenized asset offerings
XBTO’s tokenized asset offerings will include private credit, real estate, and private companies, with additional token structures in development. The initial tokenization projects include senior e-notes issued by BermudAir, a boutique airline based in Bermuda, and an upcoming e-note from AgroRef, a producer of hemp and CBD products. XBTO collaborates with partners such as Obligate, a platform for on-chain capital markets, and Credora, which provides technology-driven credit assessments.
Obligate officials noted that the partnership with XBTO aims to improve access to funding and investment opportunities by efficiently linking issuers with investors in a regulated environment. In turn, Credora representatives emphasised that their credit assessments enhance confidence and transparency in tokenized investments.