Lition and Tokeny have announced a new strategic partnership between themselves. This relationship will see the recently released TREX framework for issuing digital securities, utilized by Lition. Through its use, and attributes brought to the table by Litions second layer solution, the pairing hopes to effectively tackle the growing digital securities sector.
Building on a previous agreement between Lition and VR Bank, this new partnership will see the duo pilot a €20 million real estate loan.
Broken down simply, VR Bank will issue a security token representing participation in a group funded loan to be used towards real estate based in Germany. These tokens will be distributed over the Lition blockchain through the use of the TREX framework provided by Tokeny.
Alongside their announced partnership, the CEOs of both Tokeny and Lition took the time to comment. Here are a few quotes from each of these individuals, as they discuss the development at hand.
Luc Falempin, CEO of Tokeny, stated,
“The advantages of using blockchain technology in the issuance of securities are overwhelming. Those benefits are starting to be recognised by regulated institutions and this initiative is proof of that recognition. What has held this technology back from institutional adoption is the lack of compliance and regulation…This is the exactly why we developed the T-REX. This standard allows for the compliant trading of digital securities by enabling issuers to control transfers and ensures investors meet the obligations in each jurisdiction the assets are distributed in. We are incredibly excited to be utilising the T-REX and working with Lition and VR Bank in this genuinely first-of-a-kind technical demonstration of an offering.”
Richard Lohwasser, CEO of Lition, stated,
“We’re tremendously pleased to announce this initiative with Tokeny after having already announced our partnership with the VR Bank earlier this week. The benefits of tokenizing securities are very strong. So far high legal hurdles have hindered large scale adoption, but by ensuring data privacy and deletion with our unique technological solution, we’re finally one step closer to legal security token offerings. It opens up the door for many others to follow suit”
Above all, Lition is working to establish their public/private blockchain solution. Acting as a ‘layer 2’, scaling solution, the Lition blockchain functions on top of Ethereum. The structuring of Lition allows for endless use cases to be realized through dApps built on top of it.
Above all, Tokeny is working to develop the digital securities sector. They are doing this through the use of a public framework tailored for security tokens, which is known as ‘TREX’.
In Other News
In recent months, we have documented endeavours pertaining to both Lition and Tokeny. Check out the following articles to learn what else these two companies have been up to as of late.