One of the biggest adoptions that blockchain enthusiasts want to see is the stonk market converting its current system to a tokenized system over a blockchain. 😲
A step in that direction happened earlier this month.
The Zug, Switzerland-based DeFi company Backed Finance launched bCSPX on one of the world’s most active and liquid DEXs (decentralized exchange), Uniswap ($UNI.X).
The bCSPX token represents one share of BlackRock’s ($BLK) iShares Core S&P 500 ETF (CSPX). Every bCSPX token created results in one share of CSPX purchased and then deposited with Backed Finance’s regulated custodian, Maerki Baumann & Co.
According to Backed Finance, the token is legally classified as a certificate.
While the token can be traded on Uniswap’s DeFi platform, Backed says that redeeming the token for the stock will require individuals to complete KYC (know your customer) information.
Whether BlackRock was involved or is aware of this development is unknown. 🙄