Ken Lo August 05, 2021 06:00
In the previous column, we introduced various forms of digital assets with a particular focus on security token offerings (STOs), a new, promising and regulated means of capital raising. In this column, we will analyze the global STO landscape and opportunities for its use in Hong Kong and the Greater Bay Area (GBA).
Global STO landscape
STOs, regulatory-compliant tokens that combine features of cryptocurrency and traditional stocks, have replaced the unregulated frenze of ICOs and are expected to be a new fundraising channel for illiquid assets
Just in May this year, crypto exchange INX completed the listing of INX Limited, the first STO registered with the US Securities and Exchange Commission (SEC), raising more than US$125 million. Meanwhile, Singapore-based DBS Bank issued a US$11.3 million digital bond to professional investors.
Ken Lo June 28, 2021 09:05
If you think digital assets are just a passing fad, chances are you are likely to miss out on many potential investment opportunities. Digital assets are moving mainstream, evidenced by increased global adoption by both retail and institutional investors. Below are just a few examples.
• While the S&P 500 index yielded a 1.5x increase for the past two years, the price of Bitcoin soared by roughly five times and the daily trading volume skyrocketed by 10x to USD66.4 billion during the same period.
• Coinbase, one of the world’s largest crypto exchange which was recently listed, witnessed a 95x increase in its valuation since 2018.