The crypto space is slowly seeing advancements towards a fully functioning financial system. According to a report, GMEX Group is partnering with a few other companies to push the frontiers of cryptocurrency. In particular, the companies will launch the first blockchain-powered securities exchange.
In particular, the partnership involves MINDEX Holdings Limited, GMEX Group Limited and Hybrid Stock Exchange Corporation Limited. The companies will work together to revolutionize the blockchain industry. Dubbed HYBSE International Marketplace, the exchange will operate out of Mauritius.
Mauritius is one of the few countries leading the blockchain campaign. In mid-September 2018, the country’s regulator, the Financial Services Commission (FSC) launched guidelines to facilitate the growth of crypto industry.
Custodian licenses for digital assets
Interestingly, the guidelines begin with recognition of digital assets as an asset class. Therefore, interested sophisticated and expert investors in the country are free to stake their money on them. In essence, the guidelines are quite crypto friendly.
The first clause of the guidelines states that: “The Financial Services Commission, Mauritius (FSC), the integrated regulator for non-banking financial services and global business sectors, is highly supportive of Fintech-related initiatives in the Mauritius International Financial Centre.”
Further, the FSC recently announced that it would begin issuing custodian licenses for digital assets. In particular, a draft for the new laws says that holders of the license operate similar to traditional custodians.
First blockchain securities exchange to provide platform for SMEs to acquire capital
In this light, the three companies decided to situate the first blockchain securities exchange in Mauritius for optimal operation. As per the official announcement, the exchange will offer tokenized assets with real value. The assets include tokenized shares, tokenized currencies, tokenized commodities, and a range of exchange-traded funds (ETFs).
Also, the exchange will provide an important platform through which SMEs can access capital. In particular, the SMEs have the option of launching an Initial Blockshare Offering (IBO) to raise capital.
In essence, the official statement explains that the IBO is “a time-limited offer to purchase cryptonised-equities and other cryptonised-instruments, such as blockshares, from businesses registered on the HYBSE International Marketplace at special discounted rates.”