Investment Platform Republic revealed plans on Tuesday to tokenize shares in Crypto Venture Firm Animoca marks on Blockchain, a step aimed at opening investor access through blockchain rails.
Animoca brands, known to support over 600 blockchain startups and projects, remain privately owned with shares traded only in limited over-the-counter offers. The Republic said its plan will create digital tokens, which represents ownership of the company, which can be held in crypto -draw books and traded in the republic’s own marketplace.
“This tokenization is strongly in line with Animoca Brands’ position as a web3 leader, providing new opportunities for investors to tokenize and trade their holdings as well as expand the investment’s availability for a wider market,” said Yat Siu, performing chairman and co-founder of Animoca brands.
The move could allow a wider global set of investors to get exposure to a private tech company without waiting for a traditional public list. Tokenization, a red-hot tendency to create blockchain-based tokens for traditional financial assets such as equity, has often been touted as a tool to expand investor access to assets previously limited to only a few, spokesmen said. Some private equity -token offers such as Robinhood’s Drew concerns such as limited shareholder rights and fragmented rules.
Republic said that Animoca’s equity token will comply with the existing regulatory requirements. Details of token prices and launch time lines are expected later, says the blog post.
“This is a glimpse of the future where retail investors around the world can participate in opportunities once reserved for a few, and companies can use liquidity and distribution worldwide,” the Solana Foundation President Lily Lily said in a statement.
Read more: SEC, who is willing to engage in issuers of tokenized asset, says SEC’s Hester Peirce
