Japanese financial service giant invests $4.5 million in digital securities exchange

Tokai Tokyo Financial Holdings invested $4.58 million for a 4.8% stake in iSTOX, a regulated platform for issuance and trading of security tokens. Based out of Singapore, the exchange is hoping to receive financial authorities approval in February to make it the first of its kind in Asia.

Why it matters:

• The market for digital securities is trillions of dollars however, a lack of investor demand and high-quality issuances has hampered growth. Improving the digital security infrastructure should help both the supply and demand side of the market.
• Investment from a reputable, multi-billion dollar company such as Tokai provides further validation to the market of the promise of digital securities.