Bitfinex Securities, a subsidiary of cryptocurrency exchange Bitfinex, announced on December 20 that it has raised over $5 million in USDT for the first tokenized bond issued on the Liquid Network, a sidechain built on the Bitcoin ecosystem. This marks a significant milestone for the company, showcasing its innovative approach to handling tokenized assets for businesses.
The tokenized security offering is a result of a partnership with Mikro Kapital, a microfinance firm managing the Alternative security fund. The bond, using the ticker ALT2612, is denominated in USDT, offering a 10% coupon with a 36-month maturity. Jesse Knutson, Operations Director at Bitfinex Securities, highlighted the issuance as proof of the innovative spirit and collaborative effort between Bitfinex Securities and Mikro Kapital.
Earlier this year, Mikro Kapital and Bitfinex Securities signed an agreement to explore asset tokenization and the use of USDT in the microfinance sector, taking the first step towards integrating traditional and crypto investment worlds. Paolo Ardoino, Tether‘s CEO, emphasized the ongoing challenge of bridging the gap between traditional and crypto investors and educating them on the mutual benefits of high-quality securities and tokenization.
The Liquid Network supports a variety of tokenized assets, including stablecoins, security tokens, and NFT collections, and is a sidechain of the Bitcoin blockchain ecosystem. This development is part of the broader trend of tokenizing real-world assets, which is gaining momentum within the blockchain space and traditional finance sectors alike.
Blockchain companies and central banks from various countries are increasingly engaging in significant partnerships, especially in light of Central Bank Digital Currency (CBDC) projects. These collaborations aim to provide investors with a reliable environment, allowing transactions to be executed faster and at a lower cost compared to traditional financial platforms.