A new cryptocurrency trading platform, Hg Exchange will soon start to offer Blockchain-based trading of tokenized assets, such as shares of Uber, Airbnb, SpaceX, and more.
The platform was created by a collaboration of the same teams that were behind the creation of the decentralized application (dApp) Ziliqa (ZIL) and crypto exchange MaiCoin.
The Singapore-based Exchange will be one of the first member-driven cryptocurrency exchanges in the region and is primarily aiming to merge the gap between crypto space and the traditional finance markets. If implemented correctly, it will bring together not just buyers and sellers but also those who are actually issuing the tokens, most of which are based on privately held shares and securities.
The Chief Executive Officers of Hh’s first members said,
“The digital-first strategy adopted by Hg Exchange is envisioned to seamlessly connect private enterprises with the right investors, and also democratize the capital market by providing investors with a chance to participate alongside their institutional counterparts.”
The exchange announced on a public statement that while they will provide access to high-growth startups, they will also do the same for decacorns, or companies that have a valuation of over $10 billion, such as Uber, Airbnb, Space X, Grab and Didi Chuxing, which are currently not within reach of the average investor.
The opportunity for retail traders to invest in high-value assets like this, due to more effective tokenization, is a major benefit offered by Blockchain networks. With the cryptocurrency market still recovering from the bear market phase of 2018 that saw record lows in crypto prices, many investors have identified this as the key growth area for the technology, with tokenized real estate and all kinds of other tokenized assets predicted in the near future.
Zilliqa, which was founded back in 2016 and is due to launch its mainnet at the end of January, is intending to focus on real-world use cases like this to accelerate adoption of Blockchain. Xinshu Dong, the co-founder and CEO of Ziliqa recently stated that,
“It’s important to look at how Blockchain technology can solve existing challenges holding industries back…Within the private investment industry, blockchain can provide greater standardization, fractionalization, and enables trading on a regulated venue at lower costs.”