Dusk Network Takes 'Around 10%' Stake in Dutch Stock Exchange

Security token platform Dusk Network has become a shareholder of a Dutch stock exchange as part of both firms' plans for share tokenization.

Dec 2, 2020 at 10:30 a.m. UTC
Updated Sep 14, 2021 at 10:37 a.m. UTC

Security token platform Dusk Network has become a shareholder of a Dutch stock exchange for small and medium-size enterprises (SMEs).

Announced Tuesday, Dusk Network's share acquisition in Nederlandsche Participatie Exchange (NPEX) follows a partnership period where both companies developed pilot projects to further financial product innovation. A representative of Dusk told CoinDesk the stake was "around 10%."

As reported previously, Dusk has plans to tokenize shares for thousands of SMEs in the Netherlands and the Benelux region.

NPEX said in the announcement it brought Dusk into the fold to help digitize and grow its platform. "We want to accelerate our growth and contribute more to the sector," said NPEX CEO Mark van der Plas. "Especially during the pandemic, we see a lot of demand for better access to finance and investing ... technology plays a vital role in this."

Dusk also sees the share acquisition as a "strategic move," one where joining forces with NPEX will help "innovate the financial sector."

“As partner and shareholder, we have developed pilot projects to digitize NPEX’s services and infrastructure," said Jelle Pol, managing director at Dusk. "Our prior experience enables us to quickly add value to the platform in the EU, using our technology."

According to the companies, the tokenization of digital shares will allow for transactions and trades to be conducted on the exchange in smaller quantities. Dividend payments and expensive processes resulting from shareholder meetings can also be automated.

The initiative also aims to reduce the cost of alternative methods of financing, which in turn could attract larger investments.

The Dutch exchange operates a multilateral trading facility license as a self-regulated financial trading venue under the stringent European legislative framework known as MiFID II.

The Festival for the Decentralized World
Thursday - Sunday, June 9-12, 2022
Austin, Texas
Save a Seat Now

DISCLOSURE

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.

Trending

1
First Mover Asia: USDC Hasn’t ‘Flippened’ USDT, but Trader Preferences Are Changing; Cryptos Rise Despite Bearishness

A Glassnode analyst suggests the collapse of the UST token has triggered a change in investors' stablecoin preferences; bitcoin holds above $30,000.

A Glassnode analyst suggests the collapse of the UST token has triggered a change in investors' stablecoin preferences; bitcoin holds above $30,000.

2
Musk Sets New Condition for Twitter, Citi Says Terra’s Fallout Unlikely to Hit Wider Financial System

The most valuable crypto stories for Tuesday, May 17, 2022.

The most valuable crypto stories for Tuesday, May 17, 2022.

3
Market Wrap: Cryptos and Stocks Mixed Amid Bearish Sentiment

BTC is stabilizing around $30K while stock market volatility begins to fade.

BTC is stabilizing around $30K while stock market volatility begins to fade.

4
New Data Shows Underground Bitcoin Mining Thriving in China

The U.S. has also expanded its lead in the global hashrate competition.

The U.S. has also expanded its lead in the global hashrate competition.