UBS AG announces Hong Kong’s first investment-grade tokenized warrants on the Ethereum public blockchain network. Featuring call warrants with underlying shares of Xiaomi Corporation, this breakthrough product marks an important milestone in the field of digital finance.
Powered by the bank’s proprietary tokenization service, UBS Tokenize, the service promises increased transparency, reduced transaction fees, streamlined payment processes, and extended trading hours. Winni Cheuk, Head of APAC Public Distribution Sales at UBS Global Markets, highlights the importance of this advancement, saying there are many benefits for investors.
Partnership with OSL Digital Securities Limited marks a major milestone
OSL Digital Securities Limited, a licensed virtual asset platform operator and a subsidiary of OSL Group, has successfully acquired tokenized warrants, strengthening an important collaboration in the digital asset field.
Patrick Pan, Chairman and CEO of OSL Group, expressed satisfaction with the partnership and highlighted its impact on Hong Kong’s regulated virtual asset environment. This partnership reflects the growing importance of tokenization in financial markets and represents a significant advancement in the industry.
Additionally, this partnership represents significant progress in simulating the complete commodity lifecycle of equity-linked structured commodity tokens, from the minting of the token to its final burn at maturity.
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Advantages and future development of tokenized warrants
Tokenized warrants offer several advantages and promising prospects for investors in digital finance. Tokenization, powered by blockchain technology, creates new opportunities to access digitally structured products, expanding investor accessibility and enabling extended trading hours. Smart contracts associated with tokenized warrants streamline processes, reduce processing costs, and increase efficiency compared to traditional channels.
Additionally, blockchain technology ensures transparency and strengthens trust and accountability in the investment process, as all transactions and ownership records are securely stored on a distributed ledger. UBS’s commitment to advancing tokenization services highlights its continued efforts to establish an institutional-grade infrastructure for tokenized assets. UBS aims to pave the way for widespread adoption of tokenized assets in the financial sector, with a focus on generation, distribution and custody.