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AllianceBlock, ABO Digital to Offer Tokenized Structured Products

AllianceBlock, ABO Digital to Offer Tokenized Structured Products

AllianceBlock, ABO Digital to Offer Tokenized Structured Products

The tokens will give traditional-finance investors a compliant way to back crypto projects.

The tokens will give traditional-finance investors a compliant way to back crypto projects.

The tokens will give traditional-finance investors a compliant way to back crypto projects.

AccessTimeIconMar 16, 2023, 1:29 PM
Updated May 9, 2023, 4:10 AM
AllianceBlock and ABO Digital are offering a way for TradFi investors to back crypto projects. (Pixabay)

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 tie-in comes as tokenized assets continue to gain steam. Earlier this year, for example, investment firm Hamilton Lane offered tokenized exposure to one of its funds.

The structured products under the AllianceBlock-ABO Digital partnership will offer alternative fundraising options for crypto projects, such as issuing tokens to market makers or venture capitalists. Projects can also access liquidity from institutional investors.

ABO Digital – the digital-asset investment arm of ABO Group, which provides private financing for publicly traded companies – will help negotiate and structure the financial instruments based on a project’s capital and liquidity goals. AllianceBlock will tokenize the assets and turn them into compliant "actively managed certificates," which is a type of structured product that lets an investor track and benefit from an underlying asset without having direct ownership.

“With our combined effort, we aim to bring a fresh perspective to the world of decentralized and traditional finance and attract more institutional capital providers,” ABO Digital CEO Amine Nedjai said in a press release.

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Brandy covered crypto-related venture capital deals for CoinDesk.


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