• AllianceBlock and ABO Digital are partnering to offer tokenized structured products for institutional and retail investors.
• These tokens will give traditional-finance investors a compliant way to back crypto projects.
• ABO Digital will help negotiate and structure the financial instruments based on a project’s capital and liquidity goals, while AllianceBlock will tokenize the assets.
AllianceBlock and ABO Digital Partnering For Tokenized Structured Products
AllianceBlock, a provider of blockchain infrastructure that bridges traditional finance and decentralized finance, has formed a partnership with digital investment firm ABO Digital to offer institutional and retail investors a compliant way of backing crypto projects through tokenization. The structured products under this partnership will give traditional-finance investors a compliant way to invest in crypto projects without having direct ownership of them.
ABO Group Providing Private Financing
ABO Digital is the digital-asset investment arm of ABO Group, which provides private financing for publicly traded companies. They will help negotiate and structure the financial instruments based on a project’s capital and liquidity goals, while AllianceBlock will tokenize the assets into actively managed certificates compliant with regulations.
Tokenization Gaining Steam
Tokenized assets have been gaining steam in recent months; for example, investment firm Hamilton Lane offered tokenized exposure to one of its funds earlier this year. This new partnership between AllianceBlock and ABO Digital is aiming to bring an fresh perspective to both decentralized finance (DeFi) as well as traditional finance (TradFi).
Crypto Projects Access Liquidity From Institutional Investors
The tie-in comes as tokenized assets continue to gain steam. With this combination of tradfi & defi, crypto projects can access liquidity from institutional investors. Furthermore, they can also issue tokens to market makers or venture capitalists through alternative fundraising options enabled by these structured products.
Bringing More Institutional Capital To Crypto Industry
Through this partnership between AllianceBlock & ABO Digital, both parties aim to bring more institutional capital providers into the world of decentralized & traditional finance – ultimately providing more options for cryptocurrency projects seeking funding or liquidity solutions.