DX.Exchange is set to tokenise the stock market by offering digital stocks based on actual shares, blurring the lines between crypto and global markets. As part of an agreement with MPS MarketPlace Securities Ltd, the new digital startup will allow customers to indirectly purchase shares of some of the largest companies listed on the Nasdaq exchange. So rather than directly obtaining the shares, what traders will be purchasing is token which represent stakes in a company. These tokens will be backed 1:1 by real stocks.
Among the heavyweight firms set to be listed among the share of organisations include Apple Inc, Facebook Inc and Tesla Inc.
COO Amedeo Moscato told CoinDesk: “Henceforth, when they become a token holder, they own stocks or portions of the company’s stock, as the tokens are backed 1:1 to the real-world stocks.
“That makes them entitled to the same cash dividends that the stocks are worth.”DX.Exchange will enable investors to exchange with ease outside of the US after trading hours.
DX.Exchange is set to tokenise the stock market.
DX.Exchange is set to launch on January 7 When they become a token holder, they own stocks or portions of the company’s stock, as the tokens are backed 1:1 to the real-world stocks
The company also has plans to expand into Tokyo and Hong Kong.
It uses Ethereum and ERC-20 to tokenise the stocks ready for trading and will offer peer-to-peer crypto trading.
CEO Daniel Skowronski told Bloomberg: “We saw a huge market opportunity in tokenizing existing securities.
“We believe that this is the beginning of the traditional market’s merge with blockchain technology.
“This is going to open a whole new world of trading securities old and new alike.”
DX.Exchange, which has offices in Estonia and Israel, is set to launch on January 7.