Security tokens have reached another milestone, this time in Germany.
The
Federal Financial Supervisory Authority (BaFin) approved Bitbond's prospectus for the issue of the first digital bonds.
The bonds will be represented by tokens in the
Stellar Blockchain network and will contain the first fully regulated offer for
security tokens (STO) in Europe.
CrowdFundInsider informs that Bitbond expects to collect from 3 to 5 million euros by selling bonds with a hard cap of 100 million euros.
The proceeds from the sale will be used to borrow for
Bitbond customers.
According to the Prospectus, each
BB1 token will represent a ten-year bond for one euro, with 4% of annual interest paid in quarterly installments. The investor token will also receive an annual variable rate coupon, based on a share of 60% of Bitbond profits. The interest on the bonds as well as the repayment of the capital will be paid in
Stellar Lumens (XLM).
Recently, I wrote that
in Switzerland property was tokenized for the first time and this is a sensation for all those waiting for legislative decisions of real estate projects using the blockchain technique.
https://bitcointalksearch.org/topic/szwajcaria-jako-pierwsza-ztokenizowaa-nieruchomo-na-acuchu-blockchain-5117849Today's news from Germany is a milestone when it comes to
security token be able to legally offer
STO security tokens offerrings, which will be able to pay different dividends for those holding investors.
We've all been waiting for that and, if countries like Germany or Switzerland, give the
green light for security tokens and real estate tokenization using blockchain technology (Ethereum and Stellar). In this case, you can expect that other countries will also open up to this type of tokens and start-ups.
I used the elements of this article
https://cryptobriefing.com/bonds-stellar-bonds-german-regulators-approve-bitbond-sto/