- AllianceBlock is a decentralized, trustless infrastructure that creates seamless connections between TradFi/DeFi.
- ABO Digital is Alpha Blue Ocean’s private digital asset investment arm.
- They have teamed up to provide alternative funding for crypto projects.
AllianceBlock has partnered up with ABO Digital To offer tokenized structured products to institutions and crypto projects searching for alternative financing options. AllianceBlock is proud to announce this partnership as another milestone in its mission to create seamless bridges between Traditional Finance and Decentralized Finance.
AllianceBlock will leverage ABO Digital’s decentralized and trustless blockchain infrastructure together with the Nexera Protocol to tokenize financial instruments.
Rachid Ajaja from AllianceBlock, CEO, commented on partnership:
“Through this strategic partnership, AllianceBlock is set to revolutionize the industry by leveraging its infrastructure to tokenise traditional financial instruments and new instruments for the digital asset space, taking a giant leap forward in providing institutions with a more compliant and risk-averse way to take advantage of DeFi’s benefits. This partnership is a major milestone for both the companies and the entire industry. It demonstrates our commitment to innovation and compliance as well as risk management. The future of finance is looking brighter than ever.”
AllianceBlock and ABO Digital’s structured products
ABO Digital offers a range of structured financial products, including debt issuance and convertible bonds. It also provides warrants/options to provide the capital startups need in order to grow their customer base. ABO Digital is exploring alternative financial investments for institutions via tokenization.
The AllianceBlock and ABO Digital’s structured products will provide crypto projects with alternative funding options like issuing tokens to market makers or venture capitalists via a Simple Agreement for Future Tokens (SAFT), to access additional liquidity from institutional capital providers with full compliance.
How structured financial products work
Under the agreement, ABO Digital will negotiate and structure financial instruments depending on a project’s capital and liquidity requirements. AllianceBlock in collaboration with Nexera Protocol’s infrastructure and NexeraID’s identity will tokenize structured financial instruments and convert them into Actively Managed Certificates (AMCs) with full compliance for capital providers that do not want to hold digital assets.
Capital providers funds will be locked into smart contract and disbursed to projects after the minimum funding threshold has reached. Capital providers will be provided with a traditional AMC. AllianceBlock will manage the assets, including convertible bonds, debt, and warrants.
ABO Digital will get a structuring charge based on the amount raised. AllianceBlock takes the majority fees for managing or directly using the tokenized asset.
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