While security tokens have captured the attention of many – due to their potential for unlocking liquidity in traditionally illiquid assets – they need a place to call home for this to be realized. Issuance platform, Smartlands, has now announced a partnership with exchange, Archax, which will see the latter provide this home.
This means that forthcoming security tokens backed by real estate, issued through Smartlands, will be actively traded on the Archax Exchange when it launches in late 2019.
Upon making their announcement, representatives from each, Archax and Smartlands, took the time to comment. The following is what each had to say on the matter.
Arnoldas Nauseda, CEO of Smartlands, stated,
“Today, Smartlands is making a huge leap towards the ultimate liquidity of asset-backed digital assets…We were the first in the UK to tokenise an asset using both crypto and fiat currencies on our FCA-registered fully compliant platform, and we want to welcome more institutional investors to Smartlands. Right now, institutions are hesitant to enter this massive market, citing a lack of transparency. Institutional-grade deals for trading assets on secondary markets require the highest level of regulatory compliance and very soon together with Archax, we will present to both investors and institutions the coveted opportunity to trade on a fully compliant Archax MTF.”
Graham Rodford, CEO of Archax, stated,
“We are excited by the benefits that tokenisation and blockchain technology introduces to asset classes such as real estate and private equity. Providing transparency and creating secondary markets unlocking liquidity to traditionally illiquid assets is exactly what Archax is all about. We are incredibly pleased to be partnering with Smartlands to bring this reality to the tokens issued on their highly innovative platform. We are looking forward to being at the forefront of this emerging ecosystem and working together as the security token world gathers pace.”
Smartlands is a London, U.K, based company, which was founded in 2017. This young company deals with anything ‘security tokens’. Above all, they function as an issuance platform – meaning they facilitate the tokenization of assets for global clients.
We recently were fortunate enough to be able to interview the CEO of Smartlands. Here, Arnoldas Nauseda provided us with more background not only on himself, but Smartlands.
Archax is a London, U.K, based company, which looks to function as an ‘institutional exchange for trading asset-backed tokens’. This exchange is scheduled to launch in the latter half of 2019.
As with Smartlands, we recently had the pleasure of interview the CEO of Archax. Check out the following link to learn more about this young company, and their plans for the future.
In Other News
Beyond interviews, we have notably reported on dealings pertaining to each of these companies various times in the past few months. Here are a few articles highlighting some of the steps that each of these companies have taken.
SIX Acquires Stake in daura – SDX Exchange
A Strategic Advantage – SDX Exchange
Boerse Stuttgart Subsidiaries to Benefit from Investment by SBI Holdings
It is fair to say that SBI Holdings has decided to go all-in on blockchain based endeavours as of late. This has been made evident through various high profile investments. The most recent of which include Ripple, Securitize, and now Boerse Stuttgart – the latter of which we will discuss here today.
In an effort to usher in higher levels of adoption surrounding digital securities, SBI Holdings has invested in multiple branches of the Boerse Stuttgart group.
- Boerse Suttgart Digital Exchange
- Boerse Stuttgart Digital Ventures
Plans Moving Forward
In their announcement, it is clear that the rationality behind this new partnership is geared around global expansion. With SBI Holdings operating within Japan, and the various branches of the Boerse Group operation throughout Europe, the pair should find the partnership mutually beneficial.
Beyond simple expansion, the pair of companies closed out their announcement by elaborating on their plans. They stated,
“The SBI Group and the Boerse Stuttgart Group are partners in the digital asset business in Asia, including Japan, as well as in Europe. We will work together to build a global digital asset finance ecosystem utilizing blockchain.”
Upon announcing these investments, representatives from each, SBI Holdings and Boerse Stuttgart, took the time to comment. The following is what each had to say on the matter.
Yoshitaka Kitao, CEO of SBI Holdings, states,
“Due to the decentralized nature of digital assets, it is our top priority to find globally suitable partners to build our digital asset ecosystem. The SBI Group, with its trading platform for digital assets and other relevant companies, will make full use of the cooperation with the Börse Stuttgart Group to respond to the global customer interest in digital assets.”
Alexander Höptner, Chairman of the Management Board of Boerse Stuttgart GmbH, states,
“Asia and Europe are currently the fastest growing markets for digital assets. With the SBI Group, we have found an ideal partner to realize our vision of an efficient, global ecosystem along the value chain of digital assets. In addition to the exchange of knowledge and technology, the collaboration also covers the issuance, listing and trading of digital assets across borders, as well as brokerage services and building the first global bridge for custody.”
The Boerse Stuttgart Group consists of various branches such as Boerse Stuttgart Digital Exchange, and Boerse Stuttgart Digital Ventures. These two branches, in particular, have a focus on blockchain based endeavours, including the eventual creation of a secondary marketplace for digital securities.
An acting subsidiary of SBI Group, SBI Holdings, was launched in 1999. The company maintains headquarters within Tokyo, Japan, where they seek out, and establish, strategic partnerships with high potential companies.
CEO, Yoshitaka Kitao, currently oversees company operations.
In Other News
In recent months, each of the companies discussed here today have found themselves in our news feed. Whether launching a digital exchange, or making strategic investments, both companies have been quite active. The following articles are just a couple discussing recent moves by both.
DX.Exchange Goes Bankrupt – CX Technologies Ltd
Additionally, a host of suppliers have taken suit against the company. These suits run the gambit from unpaid bills to the alleged fraud. The well-known cybersecurity firm, White Hat Ltd is one of the company’s claiming losses due to DX.Exchange actions. Another lawsuit lists Bee2See Dotan B.S. Solutions. This is the firm that handled DX.Exchange targeted marketing. Even the company supplying the servers never got paid – Malam Team.
Writing on the Wall – DX.Exchange
Employees and suppliers knew to take action earlier in the month after the firm closed its doors unexpectedly. At the time, DX.Exchange owner Pinhas Patarkazishvili cited the rising costs and dwindled profits the exchange had left. He told employees that he was searching for a merger or acquisition and if that he was unsuccessful, the company would permanently cease operations.