July 4, 2019 | AtoZ Markets - The Latin American BTG Pactual investment bank and Dalma Capital, the Dubai-based asset manager, have announced their intention to launch security tokens on the Tezos blockchain, which is a “self-amending blockchain” and smart contracts platform, as the announcement described.
The step comes in pursuits by both companies to “address a deal pipeline in excess of $1bn for existing and prospective token issuances,” As they referred to in their press release.
BTG Pactual, which is the third-largest bank of its kind in Latin America, was said to have become the first major investment bank to officially launch a Security Token Offering (STO) with ReiBZ, which is one of the pioneer real estate companies in Brazil.
The aforementioned giants used the Ethereum protocol to release the token. However, it will be migrated to Tezos, according to what came in the announcement.
Tezos is validated by proof-of stake
Tezos, which has been billed as one of the early “Ethereum killers.” According to media reports, is validated by “proof-of stake and has on-chain governance", as opposed to the off-chain, proof-of-work model followed by Ethereum, as per the press release.
On his turn, Andre Portilho, the BTG’s Partner responsible for the STO initiative, said in a statement “While the bank remains protocol and technology agnostic, and will continue to utilize the Ethereum protocol, we see Tezos as a global player with a robust blockchain for asset tokenization,”
The project, seems to pave the way for tokenizing range of traditional and alternative investments on the Tezos blockchain, which also include global sports clubs, equity and debts interests, as BTG’s and Dalma’s plans revealed.
It is worth mentioning that Tim Draper, CEO and Founder of Draper Associates, who is also one of the biggest stakeholders of Tezos, stated, “We are excited to see BTG Pactual and Dalma Capital making use of the Tezos blockchain–we are believers in the Tezos project and see a strong use case for security tokens.”