STO participants include Animoca Brands, Head & Shoulders Financial Group, China Fortune Financial Group Limited, Volmart and Monkeykey Group Asset Management Limited
“Proof of Concept” Issuance and Distribution Paves the Way for Innovative New Ways to Invest in Regulated Digital Assets
HONG KONG, July 26, 2022 /PRNewswire/ — OSL Digital Securities Limited (OSL) announced today that it has become the first SFC Type 1 licensed digital asset broker to distribute security tokens to professional investors in hong kong in a Private Security Token Offering (STO).
Participants in the offering include Animoca Brands, Head & Shoulders Financial Group, China Fortune Financial Group Limited, Volmart and Monkeykey Group Asset Management Limited.
STO demonstrates innovative “proof of concept” for investing in regulated digital assets. This opens the door to a new market for the issuance and distribution of token securities through licensed intermediaries in hong kong and sets the industry standard for STOs globally.
Each token represents a $10,000 unit of a USD coupon rate bond linked to bitcoin. The bond was issued by a subsidiary of OSL’s parent company, BC Technology Group (BC Group), and BC Group also acted as guarantor of the bond. The tokens were developed using the Ethereum blockchain, have a term of three months, and feature a fixed coupon and a bonus coupon tied to bitcoin performance.
OSL provided the end-to-end services for the STO transaction, acting as Bookrunner, Placement Agent, Fiscal and Paying Agent, Transfer Agent, Registrar, Calculation Agent, Tokenization Technology Partner and Platform. form of negotiation.
Co-Founder and Executive Chairman of Animoca Brands Yat Siu said, “The digital asset industry, especially Web3 and tokenized securities, is revolutionizing and modernizing traditional financial services. Like NFTs and other digital assets, STOs have the potential to create new markets and distribution channels and provide enhanced digital property rights to market participants. We are delighted to participate in this placement with OSL, which is an innovative global leader in the field and the first licensed type 1 digital asset broker in hong kong.”
OSL CEO Wayne Trench said: “The OSL STO transaction is a viable model for the issuance of security tokens and the distribution of digital tokens by regulated operators. We have designed the issuance to demonstrate the immense value and ease of distribution of a security token issued on a public blockchain.The token architecture uses smart contract technologies to enable transparent transfers of security tokens on the public blockchain between hosted and private wallets and is fully compliant with security laws. securities and AML requirements.
Through the STO, OSL reaffirms its position as a pioneer in the hong kong digital asset market. Blockchain-based digital securities represent the future of capital markets and financial products, and this is a key step in the adoption of this innovative and efficient technology.”
Chairman of Head & Shoulders Financial Group Dr. Stanley Choi said, “We are proud to be part of this significant STO milestone, as it aligns perfectly with our unwavering belief that blockchain technology products bring greater security and efficiency to markets, and elevate financial services. to a new level of innovation. Head & Shoulders Financial Group is delighted to partner with BC Group and OSL and is committed to the growth of the blockchain ecosystem by hong kong and beyond.”
BC Group Executive Director and Vice President Ken Lo said: “This successful STO placement is an important milestone for that of Hong Kong capital market, as it presents huge opportunities for issuers and investors to conduct digital transactions based on blockchain technologies in an efficient, safe and reliable manner. This proves our ability to provide secure solutions in digital assets, including transaction origination, tokenization, trading and custody within a regulated framework. »
OSL Digital Securities holds a Type 1 (Securities Trading) and Type 7 (Automated Trading Service) Regulated Business License in Digital Assets from the Hong Kong Securities and Futures Commission (SFC), which allows it to issue and distribute digital securities via security token offerings to professional investors.
The Hong Kong Monetary Authority (HKMA) and the SFC have issued a joint circular on January 28, 2022which for the first time enabled registered institutions and licensed companies to provide digital asset investment services by partnering only with SFC-licensed virtual asset trading platforms.
As part of the circular and with this STO, OSL has demonstrated its ability to play a pivotal role in building books for licensed broker partners and banks on future STO issuances and other digital asset transactions.
About OSL and BC Technology Group
Supported by from Asia BC Technology Group (stock code: HK 863), a leading public fintech and digital asset company, OSL is the region’s most comprehensive licensed digital asset platform.
OSL is the world’s first SFC-licensed digital asset platform providing brokerage, custody, exchange and SaaS services for institutional clients and professional investors.
The company offers OTC, iRFQ and electronic trading services giving traders access to the world’s deepest pools of liquidity, as well as secure and insured wallets to ensure custody of digital assets with timely settlement of trades. .
BC Technology Group and the OSL Platform are enabling institutional adoption of the digital asset class, setting the global standard for performance, security and compliance.
For more information: bc group and osl.com.
SOURCE OSL; BC Technology Group