Executive With SIX Stock Exchange Eludes To Possible Release Of New Token
Thomas Zeeb says that the launch of the exchange-based token is likely.
SDX remains apprehensive of cryptocurrency, based on lack of regulations.
Launching cryptocurrency assets is one of the quickest ways to get involved with the ever-changing landscape of the industry. As banks and exchanges debate over their own launches, the head of securities and exchanges with the SIX Stock Exchange, Thomas Zeeb, said that there is a possibility that the platform will issue their own token. This addition would be part of the efforts to digitize the traditional assets that they hold.
Zeeb spoke with Finews, saying that an initial digital offering (IDO) and a native token are planned to be launched in 2020, though a trial is planned for this summer. He added that there are multiple organizations that they are involved with that are wanting to launch products of this nature, including real estate funds and others. Right now, Zeeb says that the exchange plans to let the clients decide and that the decision is “currently being finalized with our user-owners.”
With the launch of an IDO, this offering will end up falling into the same protocols and regulations as an initial public offering (IPO). Still, Zeeb believes that the next two years will bring the SDX to ultimately offer tokenized traditional securities for many of the products they offer, including equities, fixed income, and funds. The only roadblock will be due to the regulations in place by then.
Zeeb appears to have enough confidence in these efforts that he suggested that the potential token could end up as a replacement for shares at some point. However, the exchange has not quite caught up to the notion, preferring that the trading services remain separate from cryptocurrencies, considering the compliance concerns and anonymity. Based on the current criteria outlined by SDX, Bitcoin is not able to be traded on the exchange even, so there are some changes to be made still.
The creation of SDX through the last two years has cost SIX a “double-digit million amount,” says Zeeb, and they will be adding 30 more people by the end of the year. With these additions, the total staff will end up at 100 people. To work on the platform, the R3 Corda Enterprise blockchain has been collaborating with SIX.
Last June, the stock exchange had already announced their intention of creating a regulated exchange platform that could serve digital assets. The company planned to start with exchanging stocks, and slowly evolve into other tradable assets, which includes art.