Bitfinex Securities and NexBridge have partnered to offer tokenized US Treasury bills in El Salvador, blending traditional finance with blockchain.
US Treasury Bills in El Salvador
Bitfinex Securities and NexBridge, a digital asset issuer that specializes in the tokenization of financial assets, have partnered to provide the first tokenized US Treasury bill in El Salvador.
“NexBridge, a digital asset issuer specializing in the tokenization of financial assets, today announced the launch of USTBL, the first regulated offering of tokenized U.S. Treasury exposure built on Bitcoin technology. The initial offering has a soft cap of $30 million, providing investors with efficient access to U.S. Treasury returns through a regulated digital asset structure,” the press release stated.
The offering integrates blockchain technology with traditional financial instruments, allowing investors to acquire digital tokens that are linked to short-term U.S. Treasury Bills.
On Tuesday, the new offering will be available for business, with the objective of providing access to T-Bill investments to individuals and organizations that were previously unable to invest in these products. The product’s objective is to accumulate a minimum of $30 million in deposits, according to Bitfinex Securities.
The token’s initial subscription period commences on November 19, 2024, and concludes on November 29, with the objective of raising a minimum of $30 million. Tether, a well-known blockchain-based stablecoin, is the currency that investors can use to partake in the offering. Bitcoin payments are expected to follow.
The token will be priced in USDt and traded on the Bitfinex Securities secondary market under the identifier USTBL after the subscription period. The token’s value is secured by BlackRock’s short-term Treasury bond ETF (iShares Treasury Bond 0-1yr UCITS).
“The inclusion of USTBL tokens in investment portfolios will enable investors to balance digital asset exposure with the stability of traditional finance, offering a new level of diversification that can help reduce overall portfolio risk,” Jesse Knutson, head of operations at Bitfinex Securities, said in a statement.
The swift adoption of digital asset regulations in El Salvador has facilitated the development of the new offering. Bitfinex Securities was granted the first Digital Asset License by the country in January 2023, following the introduction of a new securities law.
Since March 16, the government of El Salvador has reportedly added 162 Bitcoin to its cold wallet in August, with one Bitcoin being purchased each day.
