BTG Pactual Issues Real Estate Tokens ReitBZ on Tezos Blockchain


Banco BTG Pactual, the largest bank in
Latin America has announced today the issuance of ReitBZ security token
representing an investment in real estate on the Tezos (XTZ) blockchain. Previously
ReitBZ had been issued on Ethereum blockchain in March 2019 by the Banco BTG.
BTC Pactual informed that $5 million
worth of ReitBZ will be converted to Tezos including $2.5 million new funds
raised through fiat money. Previously on Ethereum blockchain, the bank has
raised $10 million in Ether and Gemini dollars (GUSD).
The announcement to utilize Tezos for
future security token offerings was also done back in 2019.
It is noteworthy that Banco BTG Pactual is
the first investment bank in the US which has launched security Token Offerings
(STO) in February 2019 and also had disclosed its plans for Tezos.
Since the initial issuance in May 2019,
ReitBZ had been used to acquire 238 real estate units in August 2019, and 85
units in December 2019. According to the reports 181 units have been sold so
far and the first distribution of profit dividends is scheduled in May
2020.Banco Pactual planning to launch a secondary market for Ritz BZ to provide
liquidity for the assets.
Andre Portilho, Head of Digital Assets
Initiative at BTG Pactual said :
“We decided to issue ReitBZ in partnership
with the Tezos Foundation blockchain so that we can use the technology to
execute more complex future STOs. We are confident that the Tezos solution is
technically robust and this issuance enables us to guarantee more resources to
invest in ReitBZ moving forward.”
Hubertus Thonhauser, Chairman of the Tezos
Foundation Council commented that BTG Pactual has been a pioneer in
implementing blockchain solutions to tokenize the assets it manages.
He further stated:
"We are thrilled that the firm has
chosen to use the Tejas protocol to make this implementation reality and look
forward to BTGs continued use of Tezos cutting edge technology as it pushes the
asset tokenization market towards mass adoption."
More about Tezos
Tezos is a decentralized public blockchain
supported by a Swiss nonprofit organization Tezos Foundation. Tezos keeps on
upgrading itself with consistent amendments in protocols.
The protocols on its governance system,
consensus algorithm, proof of stake (PoS), facility to verify smart contracts
has made it highly popular as long term solution for high-value financial
applications such as digital securities.
BTG Pactual
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Jayashree Ingle
CBW - External Analyst
INDIA