Morgan Creek Blockchain Capital tokenizes securities of a private company, turning them into a new security-token. This is reported by Coindesk.
The blockchain division of the investment consulting company Morgan Creek Capital Management announced a partnership with Anexio Technology Services, in which the paper stocks of the latter will be transferred to ERC-20 tokens on Ethereum.
The company plans to raise $ 40 million by selling tokens to accredited investors.
Morgan Creek Investment Manager Mark Yusko told CoinDesk that his company agreed to cooperate with Anexio because it is confident in its economic situation, adding that it is one of the "500 fastest growing companies in the US".
Anexio already receives funding through the bank, which, according to Yusko, "gives an idea of the financial stability of the business." The company is engaged in the production of graphic chips and plans to increase its production capabilities due to the funding received.
By tokenizing the business, we took the cap table, the paper shares - every company in the world has paper share certificates - and we tokenized it. We swapped, one for one, the paper shares for tokens, which allow for a global investor base and trades on a security exchange.
Partner, Morgan Creek Blockchain
Partner Morgan Creek Blockchain Anthony Pomppliano explained that the tokenization of Anexio shares will allow them to be distributed among a larger number of potential investors.