The FinTech firms GMEX, MINDEX, and HYBSE announced a strategic partnership this week. The partnership is the first steps in the creation of a new security token platform, named the HYBSE International Marketplace. The platform is based out of the African island of Mauritius and provides crypto investors with some unique opportunities. First news of the venture came via a post on Dimcoin‘s medium page and HYBSE's social media accounts.
HYBSE International Marketplace
The HYBSE International Marketplace combines the years of experience these three firms possess. According to initial reports, users can tokenize a wide array of holdings, launch security tokens, and manage token transfers. The digital exchange allows users to cryptonize shares, currencies, commodities, indices, and forex. Additionally, users can trade exchange-traded commodities (ETC), exchange-traded funds (ETF), and crypto exchange-traded funds (CETF).
Crypto ETFs are long awaited by the cryptocommunity. Many analysts predict that the entry of crypto ETFs into the market could drive Bitcoin prices into a fierce bull stance. For this reason, the race to be the first exchange in the region to offer licensed crypto ETFs continues. Crypto ETFs require approval from local regulatory committees. As you would imagine, this can be difficult to attain.
For example, in the US, the SEC denied multiple crypto ETF applications. These include submissions from market giants such as the Bitcoin billionaires, the Winklevoss twins. The SEC denied the crypto brothers a crypto ETF approval twice this year. SEC officials denied the brothers application citing the volatility in the crypto market as their primary reason.
Each member of this development team brings a unique aspect to the project. MINDEX currently operates a successful crypto exchange. The firm's experience in structuring the digital infrastructure for this concept will be paramount in the completion of this project. The HYBSE International Marketplace borrows different aspects the MINDEX platform and alters them to handle the strict requirements met by security tokens.
HYBSE International Marketplace provides users the ability to launch their own security token offerings (STO) directly from within the platform. STOs differ from ICOs in that they remain compliant to the current Anti-Money Laundering (AML) and Know Your Customer (KYC) laws. This compliance requires that all investor's and token issuers reveal their identity and source of funds.
A Partnership of Necessity
The timing of the partnership follows a recent announcement by the Financial Services Commission (FSC) in which the regulatory body announced more guidelines surrounding digital assets such as cryptocurrency. The board released a draft of the new requirements which is called the Custodian Services (Digital Asset) License. The licensing requirements are the same as traditional securities offerings with the addition of specific wording geared at digital asset holders.
In the past, the FSC stated that cryptocurrencies such as Bitcoin are not legal tender but because of their use as a store of value, they must be regulated. The previous legislation had a lack of coverage regarding digital assets. The new regulation is an attempt by Mauritius officials to clarify any confusion surrounding digital assets such as Bitcoin.
London Crypto ETFs Are Here
The HYBSE International Marketplace brings crypto ETFs to EU blockchain investors. This fact places the exchange in an exclusive class of providers offering these services globally. By becoming one of these exclusive providers, the HYBSE International Marketplace is positioned as a market leader.