DX.Exchange, a cryptocurrency exchange regulated by the European Union, based in Estonia, is going to offer tokenized securities on its platform, which will launch on January 7, 2019. The platform will allow users of cryptocurrency to invest in real stocks, and not in CFDs.
According to a press release from CryptoGlobe, DX.Exchange will offer its users securities in the form of tokenized shares of large companies, including the parent company Google Alphabet, Facebook and Amazon. This, according to the document, is the first securities to be tokenized and sold as ERC-20 tokens in the Ethereum blockchain.
These tokens are reportedly backed by 1: 1 real stocks issued by MPS MarketPlace Securities, a firm with which DX.Exchange has signed an exclusive agreement for the supply of tokenized securities to its platform.
This will allow investors to buy and sell real stocks 24/7 in a “safe and appropriate trading environment”, without waiting for the markets to open.
The release reads:
Digital stocks are backed by 1: 1 real stocks traded on conventional exchanges. You buy tokens for the leading assets in which you decide to invest, such as Google, Amazon, etc. Therefore, when you are a holder of a token, you own shares of the company.
The project is reportedly supported by the NASDAQ compliance mechanism, which is used in more than 70 markets. This allows high-frequency traders to use the platform at will.
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