Swiss Security Token Firm BlockState Shares Plans To Move ERC20 Tokens To R3 Corda Blockchain
Swiss security token company BlockState has recently revealed their plans to move about 6 ERC-20 tokens from Ethereum to Corda before the end of this year. The most catching feature of BlockState is that it operates on the Ethereum blockchain and can accommodate interoperability with R3/Corda.
BlockState was founded in 2018 in Zug, Switzerland, and has offices in Berlin, Germany. It implements an end-to-end Security Tokenization platform to digitize the control to privately owned assets and issue them to a global investor audience, creating use of Blockchain technology for efficiency increases and financial product innovation.
Earlier this month BlockState had announced their plans to raise capital via its own website. They had intentions to showcase the entire security tokenization and investment process from start to finish. They even said that they would be targeting institutional, professional, and retail investors to invest in the STO.
What’s even more noticeable is that the company had recently completed its participation in F10, the Swiss stock exchange group’s (SIX) incubation program. The “passporting” will take place on the platform R3 is building for the Swiss Digital Exchange (SDX), which is a part of SIX.
In March, SIX decided to move its digital asset listing, trading, settlement and custody service SIX Digital Exchange (SDX) onto the Corda platform.
Enabling capital-market transactions on a decentralized ledger offers the prospect of long-term cost savings by reducing collateral requirements and associated costs, reducing operational costs thanks to simplified asset servicing, and reducing data costs through a shared single source of information from which to draw reports, storage and evidence. David Nicol, R3’s head of digital assets:
“BlockState has seen that exchanges and market infrastructure providers are building new digital infrastructure on Corda so they are jumping in. The way they are doing that is with SDX, by issuing tokens that were on ethereum onto Corda.”
BlockState CEO Paul Claudius:
“A retail investor probably wouldn’t go through a financial institution connected to a regulated secondary market if he is also able to just hold an ERC-20 token in custody. So I think this is bringing together these two investor ecosystems.”
There has been no official update by the team at SIX till now, in the past they have said that they have plans to tokenize existing financial instruments. They even want to list new digital assets.