24 February, 2024

Taurus Wins FINMA Approval to Offer Tokenised Securities to Retail Investors

1 month ago

24 Jan, 2024

  • FINMA authorizes Taurus to extend its TDX trading platform to retail investors, allowing trading in tokenized securities and digital assets.
  • Taurus aims to democratize the acquisition of private securities through its TDX marketplace.
  • The combined value of crypto projects in Switzerland and Liechtenstein has surged by 107% year-over-year, reaching a total of $382.93 billion.

Swiss financial regulator FINMA has recently granted Taurus, a digital asset infrastructure provider, permission to extend its TDX trading platform to retail investors. This move allows retail users to engage in trading tokenised securities and digital assets. Taurus, backed by Deutsche Bank, aims to facilitate the process of acquiring private securities.

Yann Isola, head of product at TDX, highlighted the vision of “Private markets 2.0”, aiming to digitize the process of buying private security. The key motive of their initiative is to simplify the process to as simple as an online book purchase. This development is significant in the realm of tokenisation, a sector anticipated to surge in 2024.

The U.S. recently approved Bitcoin spot ETFs, sparking expectations of increased institutional investment in similar digital asset ventures. Taurus’s approval by FINMA, noted for its stringent regulatory standards, marks a pivotal moment in regulatory acceptance of digital assets.

Leo Mizuhara, CEO of Hashnote, acknowledged FINMA’s thoroughness and forward-thinking approach towards digital assets. He, however, opined that for retail users, the difference between traditional securities and their tokenised counterparts might not be substantial.

TDX marketplace, operated by Taurus, supports transactions in cryptocurrencies, Swiss franc, Euro, and U.S. dollar. The platform has already attracted a variety of Swiss companies, like Investis and Teylor, to issue shares. The accessibility of TDX to retail investors is a significant step in broadening the scope of participants in primary and secondary markets for digital assets in Switzerland.

Lamine Brahimi, co-founder of Taurus, added that the FINMA approval completes Taurus’s marketplace by including retail investors alongside professional ones. TDX’s target audience currently includes Swiss residents, with potential expansion to additional investors subject to compliance with trading and issuer regulations.

The partnership between Deutsche Bank and Taurus is evident through the bank’s investment in Taurus’s Series B funding. It underscores the banking sector’s growing interest in digital asset services. The engagement in tokenised securities trading by retail clients follows FINMA’s approval, highlighting a shift in the digital securities landscape.

Meanwhile, in Switzerland and Liechtenstein, the cryptocurrency sector has witnessed a remarkable surge in value. The total valuation of crypto projects based in these countries has soared by 107% year-over-year, reaching a significant $382.93 billion. This impressive growth underscores the region’s status as a pivotal hub for blockchain and digital asset innovation, drawing global attention to its burgeoning market.