A centralized security token exchange is teamed up to created in Singapore by crypto startups Zilliqa and MaiCoin, that will apply blockchain technology to the trading of traditional asset classes.
Hg Exchange announced today that it aims for token issuers, buyers, sellers and market makers to have a one-stop solution and also providing participants an access to privately held shares and security tokens.
Claimed as to be the first member-driven exchange in southeast Asia, Hg wants any participants in the platform must go through the licensed financial intermediaries attached to the exchange i.e. seeking to merge the traditional finance industry with the nascent crypto space.
The exchange further explained that it hopes to provide investors access to both new ventures and established.high-growth startups and also decacorns i.e. companies valued above $10 billion such as Uber, Airbnb, Space X, Grab and Didi Chuxing, are envisaged will be provided access by the Hg Exchange, as they are currently not within reach of the average investor.
Hg added that Zilliqa, it will facilitate the tokenization process of private company shares on its network. Zilliqa is aiming to launch its own blockchain mainnet on Jan. 31. Although, precedent for tokenizing existing shares is already there. Hg added that the founders, employees and other shareholders will be allowed to monetize their shares.
Alex Liu, MaiCoin’s CEO, stated that liquefying previously illiquid assets will be done combining private equity and other traditional asset classes with blockchain technology.
Fundnel co-founder and CEO Kelvin Lee said in a statement that future investors will be looking for different assets and products than those at present, spurred by ongoing digitization.
“The digital-first strategy adopted by Hg Exchange is envisioned to seamlessly connect private enterprises with the right investors, and also democratize the capital market by providing investors with a chance to participate alongside their institutional counterparts,” he said.