Digital Debt Securities to be offered by Gibraltar Stock Exchange
The Gibraltar Stock Exchange revealed on Tuesday, March 9th 2019 that they are going to be launching a new service called “Digital Debt Securities and Digital Funds”. This new service will be only for tokenized or digital currencies. This service is to come immediately, meaning that traders will be able to access corporate bonds, derivative securities, convertible bonds and close-ended funds in a digital-form over the coming weeks.
GSX in its announcement said that it will be undertaking blockchain technologies for this new service and that they hope that with the DBSF-Service, it will get firms to have more digital funds and debt instruments in the near future.
Better Liquidity with Tokenized Assets
GSX in a statement during the announcement said that by tokenizing assets, firms will be able to improve on the liquidity of those assets. The exchange operator has also claimed that there is greater transparency in the marketplace for blockchain contracts, making it easier to obey regulatory regulation.
Unlike dozens of other jurisdictions such as the United Kingdom, Gibraltar has been eager to embrace blockchain technologies. The GFSA (Gibraltar Financial Services Commission) was the first government-body financial authority to implement regulation regarding the digital currency.
Their eagerness to embrace blockchains& cryptocurrencies has had its financial returns, as the GSC Distributed Ledger License has become immensely popular for gamers wanting legal sport with their cryptocurrency activities. Since they first launched this ledger service, there have been blockchain firms like eToro that have received this ledger license.
The Chief Executive Officer for the Gibraltar Stock Exchange stated, “This is a historic moment for GSX, we have worked incredibly hard to reach this point, and we are now at the precipice of a truly transformational period for the capital markets. We now have an unparalleled opportunity for the GSX to become a frontrunner in the emerging digital securities market.”