Republic Europe, part of Republic – the largest online capital formation platform in the world, will soon add its new Mirror Notes to its European subsidiary.
In the US, Republic offers Mirror Tokens, which are digital assets that “mirror” securities in private firms.
By adding these offerings to Republic Europe, the platform will be introducing access to a pretty exclusive investment class for UK investors.
Currently, Republic Europe is promoting shares in SpaceX or “rSpaceX”. Investors may participate for as little as £20.
Republic explains:
“The value of the rSpaceX Note is intended to mirror the performance SpaceX shares based on the latest reliable valuation. In the case of a qualifying liquidity event, such as IPO, direct listing, or acquisition, rSpaceX holders receive a payout that reflects any change in value of SpaceX’s common shares since the purchase date.”
There is an FAQ page that provides more information on setting up the UK Mirror Note. These offerings are a form of debt security issued by RepublicX LLC, which aims to track the financial performance of a private company’s stock, without direct shareholding. These debt instruments are unsecured but are designed to generate a payout upon a qualifying event, such as an IPO or acquisition. Unlike other Republic Europe offerings, Mirror Notes will not be eligible to trade on their secondary market.
Mirror Notes are available to UK retail investors who qualify under Republic Europe’s eligibility and suitability requirements.
In a recent blog post, Republic Europe shared that investing in private equity has outperformed public markets by around 38% over the past three years. As public markets have shrunk, mainly due to unsophisticated policymakers demanding more costly disclosure, private markets have boomed, and today this is “where innovation and outsized returns increasingly reside.”
While it is not immediately clear whether Republic Europe will resemble the offerings on Republic US, the Mirror Tokens portfolio listed on Republic US is impressive, including many well-known and successful private firms.
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