The Swiss private bank Cité Gestion has teamed up with Taurus technology, according to reports, to tokenize and manage its stock on the Ethereum blockchain.
A report from Coindesk says that Cité Gestion will use the smart contract features of Ethereum to make, distribute, and manage its shares.
Taurus says that the tokenization of Cité Gestion’s shares was done in line with the rules set by the Capital Markets and Technology Association (CMTA).
Christophe Utelli, the deputy CEO of Cité Gestion, says that the adoption of the CMTA standards would make sure that enough risk management is taken into account when issuing tokenized assets.
Utelli also said, “It was important for our bank to be among the first to take advantage of the new possibilities offered by Swiss law for the digitization of securities by tokenizing our own shares.”
Reports say that Cité Gestion will be the first private bank in Switzerland to issue its own securities, which is legal.
Since its start in 2018, Taurus has helped more than 15 businesses in Switzerland and Europe tokenize their securities.
Taurus thinks that digitalizing personal property and securities will take the place of the way things are done now.