Ripple [XRP] to be part of the first Digital Stocks DXexchange

Ripple [XRP] to be part of the first Digital Stocks DXexchange
Table of Contents

The announcement of an imminent launch of DXexchange has delighted the Ripple community, as the cryptocurrency will be one of the first tradable digital currencies on the new market. Set to commence operations on the 7th of January 2019, the exchange offers a unique platform in finance as it is will effectively be the first exchange to combine cryptocurrency and stock trading.

The exchange comes into the blockchain sphere with backing from the world renowned NASDAQ in the sense that the exchange is based on NASDAQ’s matching technology.

Additionally, the two entities have stricken an agreement allowing the exchange to offer tokens which will enable stock trading based on NASDAQ listed companies like Apple and Tesla. The exchange’s official twitter page reads:

“DX.Exchange is ready to go live! The platform will launch on the 7th of January #exchange your way”

imminent launch of DXexchange

The DXexchange obtained its license from the Estonian Financial Intelligence Unit (EFIU), and has operating bases in Estonia and Israel. The exchange will be able to carry out stock trading through digital tokens linked to the listed stocks. This will effectively make holders of all the designated tokens, shareholders of the corresponding assets.

Digital stocks are backed 1:1 to real world stocks traded on conventional stock exchanges. You purchase tokens for leading assets that you choose to invest in, such as Google, Amazon, etc. Therefore, when you are a token holder, you own shares of the company.”

In more specific terms, the exchange will be able to execute stock trading based on the Financial Exchange Protocol (FIX) from NASDAQ. The tokens will be technically owned and controlled by another financial entity known as Marketplace Securities Limited, which will also bear the responsibility of issuing them to interested buyers. The exchange officially acknowledged this arrangement, saying that the company will “issue tokens that represent stocks on (the) Ethereum blockchain via smart contracts”.

The development has been hailed by the exchange as something that has a rare ability of merging blockchain technology and stock markets by creating a single platform where investors could use digital assets to participate in stocks.

RELATED POSTS

Follow us on Social Networks

Crypto Tutorials

Crypto Reviews

Ads