NexBridge & Bitfinex Securities Launch Tokenized US Treasury Bills Under El Salvador Laws

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As a seasoned analyst with over two decades of experience in traditional finance and digital assets, I find this move by Bitfinex Securities to launch tokenized US Treasury bills under El Salvador’s progressive regulations an intriguing development. The partnership between Bitfinex Securities (a sibling company of Tether) and NexBridge Digital Financial Solutions is a testament to the blurring lines between traditional finance and blockchain technology.

Through a partnership between Bitfinex Securities and NexBridge, USTBL – the first regulated tokenized US Treasury bill offering under El Salvador’s groundbreaking digital asset laws – has been launched. The subscription period for this initial offering, spanning from November 19 to November 29, aims to collect at least $30 million, providing investors an opportunity to invest in short-term U.S T-bills with a projected annual return of 5.0%. This pioneering step underscores the increasing fusion of blockchain technology with traditional finance, taking advantage of El Salvador’s forward-thinking regulations.

Bitfinex Securities Launches Tokenized US Treasury Bills in El Salvador

As a crypto investor, I’m excited about the new opportunity presented by Bitfinex Securities, a sister company of Tether. They are now issuing tokenized US Treasury bills, or T-bills, under El Salvador’s legal framework. In partnership with NexBridge Digital Financial Solutions, this innovative move introduces a fresh token named USTBL. This token offers investors exposure to short-term dollar-denominated T-bills, providing yet another intriguing avenue for investment in the crypto space.

The USTBL token, named as such, provides access to short-term U.S. Treasury bills and transacts in U.S. dollars. This opportunity, aiming to generate at least $30 million, is open for subscription between November 19 and November 29, 2024.

Recently, the company has been under scrutiny due to Heather Morgan, also known as “Razzlekhan,” receiving an 18-month prison sentence for laundering money from the 2016 hack. This case highlights the company’s substantial influence in the cryptocurrency industry.

Partnering Tether, Famous For Its USDt Stablecoin

Bitfinex Securities and its related company Tether, known for the USDt stablecoin, are transforming conventional finance by introducing a tokenized offering for US Treasury bills under El Salvador’s forward-thinking digital asset policy. The new token, USTBL, issued by NexBridge Digital Financial Solutions, allows investors to invest in short-term U.S. T-bills with an expected annual return of 5.02%.

This milestone emphasized Tether’s substantial commitment to purchasing U.S. Treasury bills worth approximately $102.5 billion in the third quarter of 2024. This move signifies a significant leap in integrating digital assets with conventional financial tools.

A new digital token called USTBL has been introduced by NexBridge Digital Financial Solutions, based in El Salvador. This token allows investors to invest in short-term US Treasury bills denominated in USD. The token is projected to generate an annual return of 5.02% until maturity and operates on the Liquid Network, a scalability solution for Bitcoin transactions.

To add more information, the subscription for this opportunity begins on November 19, 2024, and ends on November 29, 2024. The minimum amount to invest is set at $30 million. At the moment, investors can only use USDt, Tether’s stablecoin, to make their purchases. However, the team plans to introduce Bitcoin as a payment option in the future. After the subscription period concludes, the token will be listed on the company’s secondary market under the ticker USTBL.

Enabling Tether to Launch Tokenized US Treasury Bills

Tether is primarily recognized for its USDt stablecoin and devotes substantial resources towards purchasing U.S. Treasury bills. During the third quarter of 2024, Tether disclosed that it had amassed $102.5 billion worth of U.S. Treasury bills, indicating an uptick in its engagement with conventional financial assets.

In January 2023, El Salvador’s Digital Assets Securities Law was passed, allowing for the creation of tokenized T-bill offerings. Bitfinex Securities, a company authorized locally in April 2023, is now able to tokenize various assets including funds, debt, equity, and real estate using this law. This sale will be open only to qualified investors, with the exception of those residing in North America and countries under sanctions.

Moreover, it’s worth noting that the technology from Tether was instrumental in helping Quantoz introduce their MiCAR-compatible stablecoins, specifically EURQ and USDQ.

Launching these Euro and US Dollar-linked stablecoins is intended to enhance financial transactions within Europe. Quantoz, a venture supported by Tether’s Hadron platform and backed by Kraken and Fabric Ventures, stands poised to dominate the European stablecoin market. This suggests that Tether’s influence in the realm of stablecoins and blockchain technology is expanding significantly.

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2024-11-19 21:16