Sygnum - the world’s first bank to tokenize its shares
Sygnum, one of the leading crypto firms in Switzerland, becomes the world’s first bank to issue its shares on a distributed ledger.
This strategic milestone was achievedSyg using its in-house tokenization platform, Desygnate, which appears to have been developed in compliance with regulations that would be guiding operations of blockchains in the Swiss country by 2021. The platform allows corporates to raise capital in a fully regulated, highly efficient, and potentially more inclusive method, as compared to traditional options, such as IPOs.
This successful tokenization is also fundamental for Sygnum to eventually be able to go public. Looking ahead to its future public offering, the company is currently examining several tactics in its home markets of Switzerland and Singapore, including a potential dual listing with ecosystem partner SIX Digital Exchange (SDX) in Zurich, and also with the Singapore-based digital exchange partnership between SDX and SBI Digital Asset Holdings.
“We are excited to be the first bank in the world to tokenize our shares. This is an important milestone towards fulfilling our mission of creating more direct and efficient access to ownership and value. This includes new engagement models with our clients and partners, and ultimately providing liquidity for our trusted shareholders”, said Mathias Imbach, co-founder, and CEO of Sygnum.
The tokenization of shares has altered the manual updating of the bank's registry to automated, thus greatly contributing to making the process of holding and manage the bank’s shares easier.
Velina Peneva, a senior financial industry executive and Sygnum investor, says that he "was an early believer in Sygnum’s vision of building a technology group with a banking license, and laying the foundations for a trusted and secure digital asset economy. I can now access my newly tokenized Sygnum shares alongside my other digital asset investments, and participate in fully-digitized capital raises in future – all from my Sygnum bank account. This experience makes me feel much more than just a client and shareholder.”