The European Digital Assets Exchange (EDSX) says it will become the first digital securities, or security token exchange, to operate in Switzerland. EDSX will offer both primary issuance as well as a secondary market in digital securities.
Founded in 2019, EDSX states that it has completed the compliance procedure to provide a secondary market for security tokens for both institutional and retail investors.
Mauro Andriotto, CEO of EDSX, shares that in the last few months, they have seen an increased interest from traditional financial players for asset tokenization.
“We have built EDSX because we believe that blockchain technology will have a disruptive impact on the capital market infrastructures and we want to be part of this change.”
EDSX is already providing a primary market with the secondary trading platform to launch in a few months. The decentralized exchange will allow peer to peer trading minus counterparty risk by using blockchain technology.
A demo for the secondary market is available now.
On the primary market EDSX states that there are several “coming soon” projects that will open in a few weeks including start-ups, NFT blistered diamonds. A French biotech launching a pre-IPO in tokens will be listed later this year on the Frankfurt stock exchange and a mining and exploration group in Zambia that is digitizing $1 billion of copper is expected to trade on EDSX.
Trading and issuance are expected to commence in Q3 of 2022. EDSX points to a study conducted by the Frankfurt School of Finance and Management, Plutoneo, and Tangany, indicating the European security token market is expected to grow approximately 81% annually over the next five years, and is projected to reach €918 billion by 2026. The market volume could surpass the cryptocurrency industry in the next five years.