decrypt.co
Blockchain startup Tokeny solutions is set to become the government of Monaco’s de facto blockchain-based tokenization platform.
A memorandum of understanding signed between the pair aims to foster greater compliance and quality to tokenized financial instruments in the country. Monaco will encourage project development by granting an official seal of approval—a mandatory label issued by the ministry of state to qualifying projects.
"Monaco is moving towards its ambition to become a funding nation for progress with our STO framework," explained Frédéric Genta, Delegate for Digital of affairs chief digital officer of the Principality of Monaco. "Two key milestones were achieved; a dedicated STO law was voted by the National Council, and we are welcoming Tokeny to the Principality to operate our STOs."
The first project to be onboarded to the initiative is Icebreaker, a production company of producer Sophokles Tasioulis and Oscar-winning documentary filmmaker Luc Jacquet—whose repertoire includes the blockbuster documentary "March of the Penguins."
The initiative will allow projects such as IceBreaker a route to funding while preserving all associated rights.
"The lack of high quality tokenized assets has been a stumbling block in the tokenization industry," says Luc Falempin, CEO of Tokeny Solutions.
"With the mandatory label, projects selected by the Principality of Monaco will be easily recognized by investors as serious and quality investment opportunities. Then, the rights of investors will be guaranteed by their onchain identity. For the issuer, AML and KYC will be automatically enforced in any transfer," he added.
The partnership comes soon after the principality passed a bill sanctioning security token offerings (STO). Alongside the bill, Monaco intends to issue a regulatory framework further aiding the tokenization sector.