Introducing Liquia

In the future, every asset and investment opportunity that can be digital through blockchain, will become a Digital Asset. Liquia is a pioneer player to help this happen in Latin America.

The inception of blockchain technology and cryptocurrencies has brought along an entirely new type of investment, one that provides incredible opportunities never before seen. Not surprisingly, it has been a central topic of discussion throughout the financial industries.

Along with financial innovation, cryptocurrencies brought its share of controversy and issues due to its speculative, volatile and deregulated nature, making mass adoption challenging since it is hard to distinguish their real-world values. That is the case with utility tokens, which populate the majority of the ICOs. Many of the ICOs were just scams or projects with unproven concepts and questionable roadmaps, leading to a speculative environment that was bad to the ecosystem.

Luckily, we are witnessing the rise of a new kind of token, one that is taking the innovation of blockchain technology and the freedom of cryptocurrencies and applying to real-world assets. They are called security tokens or digital assets, which are the tokenization of assets that are made available to a much broader investment audience than via traditional capital markets. To put it simply, anything with value can be tokenized and purchase by anyone. Asset tokenization marks the end of institutional restrictions and the birth of a new investment class, one that is genuinely democratic, and without budget limitations.

What is a security token?

Security tokens, or digital assets, are investments similar to securities such as stocks that are traded on notorious stock exchanges around the world. With the exception that they’re better and much more inclusive to an entirely new population of investors. Like traditional securities, they represent ownership of an underlying asset, similar to a stock certificate, a bond or even a building. The reason why they are better in the first place is that they are designed for the present digitized and automated age that we live in 2018, taking full advantage of the blockchain technology.

How is tokenization putting real-world assets on blockchains?

Tokenization is the process of converting rights to an asset into a digital token on a blockchain. There is great interest by financial intermediaries and technologists around the world in figuring out how to move real-world assets onto blockchains to gain the advantages of cryptocurrencies while keeping the characteristics of the asset.

If we use the stock market example once again, things get much better. Imagine if stocks (in this instance they would be called tokens) held by an individual were altogether more astute, nearly with an “identity” of their own, and with the investors’ rights clearly programmed into the token itself. Time to gather profits? The token knows. Liquidation preferences? The token knows. Need to cast a vote on financial investment objectives? The token knows. These are only a couple of examples, “activities” and “feature” can be modified in a token by means of smart contracts. The possibilities are boundless.

Our Vision

In the past, a company (or anything with tangible real-world value) in need of investment would meet considerable obstacles, that would make the initiative expensive, lengthy and cumbersome. Not to mention the long list of requirements in order to make an asset public. Those days are over. The rise of security tokens is changing this reality and facilitating the tokenization of almost anything, equity, property, art, etc. In the future, we believe that anything that can be tokenized will be tokenized! We’re building the investment banking of this new digital assets economy, providing support and solutions in every step of the process. We are proud to be part of the visionaries and pioneers of the digital asset industry.

Tokenization will change the way that people own assets forever. Blockchain technology may be in its infancy, and the infrastructure still in the process of being built, but just as ICOs have democratized access to investment opportunities, tokenization of real-world assets will allow for fairer, easier access to wealth but in a regulated and sustainable way.

In the following article, we will describe the process of asset tokenization using practical examples and its advantages. Stay tuned!

Keep in touch!

Join us on Facebook, Twitter, Telegram group, and LinkedIn and stay up to date with all Liquia developments, and the digital asset industry.

Welcome to the digital assets age, join the (r)evolution of the financial markets!

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Renato Zamagna

Renato Zamagna

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Finance, Blockchain, Cryptocurrency, and Data Security researcher, writer, and educator. www.linkedin.com/in/rzamagna