Global Stock Exchange Group (GSX) has today announced a strategic investment in CSX to launch a trading platform for tokenised assets and digitised securities in Asia.
CSX, which is part of Coinstreet Partners Group, plans to create a next-generation financial market with blockchain-based settlement and registry solutions and is currently conducting due diligence on Asian locations to identify which will be best suited to hosting the new platform.
GSX Group, which owns the Gibraltar Stock Exchange and fintech GATENet, specialises in the design and operation of digital financial market infrastructure and predicts that all settlement and registry activities will eventually be replaced by distributed ledger-based protocol technologies.
CSX aims to support investors with their tokenisation requirements ranging from stablecoins, real estate, manufacturing, media and entertainment and other sectors.
Established in 2017, its parent company Coinstreet is a decentralised investment banking, wealth management and consultancy firm focusing on digital assets and fintech.
“Asset tokenisation is a game changer in the financial market,” says Coinstreet founder and CEO Samson Lee. “It can facilitate wealth inclusion by providing investors from different regions with access to high-quality investment opportunities globally, while providing enterprises with cost-efficient growth capital”.
Coinstreet says that security token offerings (STO) are an important new trend for fundraising in the primary market, while STO exchange provides global liquidity from the secondary market. “The two are natural partners with strong synergies with each other,” says Coinstreet senior adviser Stephen Law. “Coinstreet is heading in both strategic directions”.
GSX Group CEO Nick Cowan says: “Our Digital Financial Market Infrastructure was designed to lower costs, eradicate fails, reduce risk and increase capital efficiency, with on-chain financial market, settlement and registry solutions via blockchain infrastructure, leading to larger global investor pools, greater price discovery and higher levels of interoperability between different protocols.”
To illustrate the potential offered by this collaboration, which aims to bring together capital market experience, fintech innovation and business networks from Europe and Asia, GSX and Coinstreet refer to a survey by the World Economic Forum which predicts that 10 per cent of the world’s GDP, with estimated market capitalisation of $24 trillion, will be tokenised by 2027.
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