Introducing IBO — Initial Blockshare Offering

The Hybrid Stock Exchange (HYBSE), which is a blockchain integrated online global market place where buyers and sellers meet for exchange purposes, is announcing a first to market feature, Initial Blockshare Offering (IBO). An IBO is the first sale of blockshares by a business registered on the Hybrid Stock Exchange.

In the same way that telegraphic communication technologies and the internet radically transformed stock markets, so will blockchain technology transform and elevate the way that equities may be bought and sold, globally. Real businesses that have successfully completed due diligence processes are replicated, or dematerialised onto the blockchain through a process called hybridization. They then become cryptonized-equities that are broken down into blockshares and are offered to the public during an IBO.

While the term IBO is an innovation, the concept is not at all novel. Those with an interest in financial markets know about an Initial Public Offering (IPO), which is when privately held businesses open up to the public by offering stocks, allowing the public to get a share of the business. And those in the crypto world are familiar with Initial Coin Offerings (ICO), which occurs when startups or businesses offer a new cryptocurrency in exchange for earlier adopted cryptocurrencies such as Bitcoin and Ethereum. An IBO brings together the qualities of both IPOs and ICOs to create a process that has the unique advantages of a sophisticated blockchain, fused with the assuring familiarity of a traditional system. An IBO is essentially a time-limited offer to purchase cryptonized-equities and other cryptonized-instruments such as blockshares from businesses registered on the HYBSE at special discounted rates.

Daniel Liu, Operations Manager:

“Many traditional institutions regard blockchain and the innovations around it with suspicion, but that sort of thinking is being proven wrong daily as more and more consumers — free people — are choosing blockchain as an alternative storage of monetised value, a payment gateway and investment vehicle. We know the HYBSE will be closely watched by traditional stock markets to see if our gamble pays off. We are confident about the future of blockchain and stock markets, and we welcome traditional institutions that are interested in working with us as we introduce the future.”

In order to participate in an IBO, one has to firstly be successfully registered either as an Issuer or as a User at HYBSE.com. Registering, as an Issuer, who is the party whose business is offering blockshares, must acquire an IBIN (International Blockshare Identification Number), which is the blockchain equivalent of an ISIN (International Securities Identification Number). A User, who is the party that buys the blockshares, must successfully complete the KYC (Know Your Customer) and AML (Anti-Money Laundering) processes and must also have DIM Currencies which can be acquired by converting Bitcoin (BTC) to DIM USD or DIM EUR on the DIM X platform.

One of the core values of the HYBSE is stability, and this is accomplished through the use of DIM Currencies (DIM USD and DIM EUR) as a medium of exchange on the platform. DIM Currencies are not as volatile as other cryptocurrencies because they are stabilised by a weighing of 80% precious metals and 20% Bitcoin. Another advantage when Users convert their BTC to either DIM USD or DIM EUR on “DIM X” is that they bring the value of their BTC to a blockchain with faster confirmation speeds and lower fees.

The first IBO on the HYBSE will be made available in December, and it will be accompanied by a procedure known as “blueprint”, which is comparable to a comprehensive prospectus, of the planned IBO.

The Hybrid Stock Exchange is overseen by the DIM Foundation, a non-profit organisation that co-ordinates and advises the DIM Ecosystem, which is comprised of DIMCOIN, DIM Currencies, DIM Cryptocurrencies, DEPOTWALLET, DIMPAY, DIMWALLET, DIMTOKEN, DIM X, DIM Payout and the Hybrid Stock Exchange. The DIM Foundation is also responsible for the marketing, public relations, customer care and oversight of the entire DIM-Ecosystem.