How SBI Holdings develops the market for tokenized securities
SBI Holdings is one of the largest financial services companies in Japan. Its CEO recently announced that a new STO platform is being developed to enable the exchange of tokenized securities. The service will be launched during the course of this year.
According to the media, the holding is currently negotiating cooperation with a number of Japanese companies that are members of the tokenized securities association. SBI Holdings wants to involve them in the joint development of a product that has good prospects. This association includes Monex Group, a trading platform with securities. Under its management is the Coincheck Exchange, which specializes in transactions with different shares and operates using cryptocurrencies.
The head of SBI said he plans to create an exchange company by the end of this year, which will deal with securities. One of the tasks is to obtain the appropriate permissions from the state agency, which controls the provision of financial services and the activities of cryptocurrency exchanges. Besides, the securities management bodies should give their good.
Transactions in tokenized shares are becoming more and more popular in Japan. In order to regulate activities with them and ensure maximum investor protection, the association dealing with this type of securities is developing rules that will improve a number of processes.
SBI Holdings is already preparing a number of products that will be used for the STO in the future. Until the exchange is launched, these tools will be used on other trading platforms.
This is not the first development for SBI Holdings. Last autumn, it invested more than a billion dollars in the U.S. market, which conducts operations with token shares. Part of these funds will be used to establish the company’s representative office in Japan as well. In addition, the holding has invested in the Stuttgart Stock Exchange divisions. The purpose of this cooperation is to create a single infrastructure of digital assets for Europe and Asia. The platforms are based on blockchain technology and allow trading using cryptocurrencies. In 2016 SBI presented an application for electronic payments, which was developed jointly with Ripple.
Interestingly, other giants are also investing in tokenization. An example is the electronic corporation Sony, which has invested in new block projects.
Tokenization of securities is a promising area, which is supported by the largest financial institutions in the world market. Mitsubishi UFJ has also joined the trends and is actively investing in the development of this technology. Tokenization makes it possible to carry out trading operations safely, while reducing the cost of large transactions.