Invao, a fintech based in Dubai, has announced what it says is the first bond to be issued on the Ethereum blockchain.
The IVO Blockchain Diversified Bond has been given the green light by the Financial Market Authority in Liechtenstein with all bond shares available only in the form of blockchain-based tokens.
All units of the IVO token were created on the Ethereum blockchain. It was programmed by Validity Labs in Switzerland and the tokens will be secured by German digital asset banking firm, Finoa.
According to Invao, the exclusively digital bond is setting a new standard for blockchain-based securities. It is also likely to cause an impact in the Mena region, says Ahmed Jacob, chief technology officer and managing partner at Invao in Dubai.
“Our mission in Dubai is to contribute to the Emirates Blockchain Strategy 2021,” said Jacob. “As we believe the tokenization of financial products has enormous potential in the region, we decided to provide the code of the IVO token as well as its smart contracts to the public as open-source software so that other projects may use it as well.”
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