Tokenisation is simply representing something real with a token
A token can be used to represent anything — money, property, precious metals. At Chainium, we use tokens to represent shares in a business, or equity.
Tokens can be used in a number of ways…
At Chainium, the CHX token in our token sale is a utility token — CHX is used to access services on the Chainium equity network. Whereas the Chainium equity network enables businesses to create their own equity or security tokens, so they can sell shares in their business to investors allowing them to raise capital.
Tokenisation enables us to see who owns what
By representing something as a token, it’s really easy to create a list of ownership. All we need to know is the token’s unique identifier and the owner. We can then log this on a list or in a register. In ancient times, tokens were physical objects such as shells or stones, that were used to represent an individual’s ownership, savings or debt. In more recent times, casino tokens represent sometimes large amounts of cash being gambled on the tables in Vegas or Macau.
Tokenisation in a digital blockchain world
Blockchain allows us to create tokens and log ownership of tokens in a decentralised, transparent & tamper-proof way:
· Every token owner can see the tokens they own and their historical transactions
· No-one can delete or change the blockchain record of token ownership & transactions
· The market can see who owns what
Introducing tokens to the global equity market
Historically, a hand-written or printed share certificate has been used to demonstrate that a shareholder owns shares in a business. This has moved on and now most businesses offer electronic versions of share certificates. Shareholders are then listed on a share register which is often maintained by a share registrar. Shares are often bought & sold through a broker or bank, payments need to be processed, shares needs to be allocated to the new shareholder and then the share register needs to be updated. This complex process, with lots of middlemen results in a process that’s slow and expensive. We can reinvent the process of buying and selling shares by tokenising equity using blockchain.
Tokenising equity for global businesses
Using Chainium’s equity network, businesses can tokenise their shares and equity. Here’s how it works:
And that’s it. No more middlemen! It’s a simple as buying tokens in a token sale.
Tokens will transform the global equity market. That’s why we’re building the world’s first dual blockchain for equities.
Chainium has rebranded to Own. For more information about our brand change please read this medium post.
