Swiss Six Group Building A Digital Platform For Trading Tokenized Digital Assets
Six Group, the operator of the largest stock exchange in Switzerland, is planning to create a digital platform for the trading of tokenized digital assets. The service is to leverage digital ledger technology to provide a bridge between traditional finance and crypto assets. The platform will launch in mid-2019.
According to the Six Group’s Spokesman, Stephan Meier, plans are underway to tokenize existing securities as well as assets that are not easy to bank, in a bid to make them tradable. The non-bankable assets that the company is targeting include those that are hardly traded therefore operate in a less liquid market.
Six Group is currently building the trading platform, and no decision has been made on which products will be listed and traded. However, the spokesman maintains the company will be able to add various digital assets into the exchange.
For a digital asset to be listed, it will have to go through a thorough due diligence process to ensure it meets all the required regulatory standards. In addition to the listing of crypto assets, the exchange will also provide a wide range of services including consulting.
“The aim is to utilize SIX’s existing capabilities around IPO consultancy services and build a stronger value proposition around guiding companies who are looking to raise capital by using an Initial Coin Offering. The service offering will capture the complete value chain from ICO advisory, to listing and trading services,” said Mr. Meier.
Currently, crypto exchanges rely on third-party partners to conduct elements of the trading process. Six Group on its part plans to house all the operations and parties under one roof. The proposed digital assets exchange will be the first that features a fully integrated’ end-to-end trading and custody service.
The new service is not only geared towards traditional financial service providers. The proposed exchange should also be of great assistance to companies and investors looking to take advantage of emerging opportunities around digital assets.
The company is currently in discussions with regulators and legislators as it seeks to examine adjustments in Swiss laws that will have to come into effect to support the new cryptocurrency exchange.
Talk of a digital trading platform for cryptocurrencies does not come as a surprise given that Switzerland was recently ranked among the top three most favorable countries for ICOs. The U.S tops the list with Singapore coming in third.