Bitfinex Securities has announced its first-ever tokenised bond. The platform is expected to list the bond in November under the name ALT2611.
Bitfinex is primarily known for its cryptocurrency exchange, however the bond will be a new addition to its security platform that tokenises real-world assets.
This 36-month bond is denominated in Tether ($USDT) and issued by Mikro Kapital, a company recognised globally in the microfinance sector.
The new bond will involve acquiring risks related to the debt and equity of various financial sectors, specifically targeting microfinance organizations, small financial institutions, leasing companies, and banks.
Paolo Ardoino, Bitfinex’s chief technology officer, responded to the news on X (formerly Twitter): “Exciting! This is the first bond listed on Bitfinex Securities. A new era for capital raises through deep liquid markets and stock/fond markets has begun.”
Bitfinex’s first tokenised bond
Investors interested in the ALT2611 bond can start trading with an entry price set at 100 USDT. However, there are limitations regarding the investment amount, which is set at a minimum of 125,000 USDT.
The distribution of these security tokens is scheduled to commence the week after the capital raising phase concludes, with a maturity period lasting three years from the issuance date.
The entire process and the securities bond itself are regulated under the laws of the Grand Duchy of Luxembourg.
Further details on the Bitfinex Securities’ page about ALT2611 explain that it is primarily connected to the risks arising from debts and equities of various financial entities. These are the organisations directly involved in providing financial services to micro, small, and medium-sized enterprises, particularly in Italy, Romania, Moldova and in “emerging countries along the Silk Road”.
In terms of the bond’s scope, Mikro Kapital plans to issue 100,000 tokens under ALT2611, aiming to raise approximately 10 million USDT.
The microfinance leader said that the ALT2611 is not accessible for purchase by U.S. citizens or those residing in the U.S., complying with jurisdictional regulatory restrictions.
The Bitfinex Securities platform
Bitfinex is known for its cryptocurrency exchange, but it has its own platform dedicated to listing securities. This new tokenised bond is part of Bitfinex Securities’ broader efforts to innovate within the financial sphere.
The securities platform caters to businesses intending to tokenise their securities and list them on a public exchange, providing an alternative method for companies to raise capital.
Describing the platform, its website said: “Bitfinex Securities is well positioned to offer organizations a versatile and regulated solution to raise capital and have their investment products publicly admitted to trading.”
Bitfinex Securities supports a variety of financial instruments, extending beyond cryptocurrencies to more conventional assets like stocks, bonds, and investment funds.
Previously, it offered a tokenised security that gave investors exposure to blockchain and cryptocurrency mining.
The website said: “In addition to making it easier to participate in mining and lowering the risks for investors, the BMN also strengthens Bitcoin’s security and censorship resistance.”
Like the new ALT2611 bond, the security token was issued on the Liquid Network.
