Swiss-based Digital Assets AG (DAAG) launches its tokenized stock offerings on Solana, and also stated it chose the network because it is efficient, cost-effective and environmentally friendly.
Digital Assets AG, or DAAG, a Swiss token issuer, has officially launched its stock-tokenization infrastructure on the Solana blockchain, giving FTX trading platform customers a new option to access traditional equities markets.
FTX users who have completed Know Your Customer documentation will have access to 55 free-floating stock available 24 hours a day, 365 days a year during the initial implementation, according to Digital Assets AG.
Users in authorized areas will be able to buy, sell, and withdraw assets at any time.
Assets that have acquired regulatory authority to trade on tokenized platforms are known as free-floating stocks. They indicate the number of shares of a certain asset minus locked-in shares, such as those held by corporate officials, according to DAAG.
The tokenized stock offerings are legal in the European Economic Area (EEA) because they are accompanied by a prospectus approved by Liechtenstein’s Financial Market Authority, according to DAAG.
Brandon Williams, a DAAG executive, described why his company chose Solana for the launch:
“The move from operating on a private blockchain to operating on Solana will offer a much more efficient, and cost-effective environment for the trading and utilization of tokenized stocks […] We envision the entirety of traditional finance and capital markets being able to operate on the blockchain and Solana was the obvious choice.”
However, FTX already allows users to trade tokenized stocks.
FTX unveiled the Coinbase pre-IPO contract on the eve of the company’s public listing in April, according to Cointelegraph.
“DAAG’s tokenized stock infrastructure will help facilitate a paradigm shift in the underlying market structure,” stated Sam Bankman-Fried, founder and CEO of FTX.
Investors, venture capitalists, and other market participants have overwhelmingly backed Solana.
To accelerate the development of its high-performance blockchain, the crypto firm just secured $314 million from a number of high-profile investors.
Alameda Research, Blockchange Ventures, CMS Holdings, and CoinShares, among others, contributed to the round, which was led by Andreessen Horowitz and Polychain Capital.