Cité Gestion Tokenizes Shares, Paving the Way for TradFi to Web3

• Swiss bank Cité Gestion is collaborating with digital assets company Taurus to tokenize its shares.
• The tokenization process was accomplished under the standards set forth by the Capital Markets and Technology Association (CMTA).
• Tokenization is a relatively new trend in the financial infrastructure world, earning the trust of banking institutions, paving the way for TradFi players to bring more investors into the web3 era.

Swiss private bank Cité Gestion has announced its collaboration with digital assets company Taurus to tokenize its shares. This initiative by Cité Gestion will enable the bank to issue tokenized shares following Swiss law governing ledger-based securities. The tokenization process was accomplished under the standards set forth by the Capital Markets and Technology Association (CMTA).

The partnership with Taurus will enable the bank to implement smart contracts for issuing and listing its tokenized shares. According to the bank’s Deputy CEO, Christophe Utelli, the CMTA standard was the natural choice for the tokenization, as it ensures that an adequate risk management framework is at the heart of the process.

Tokenization is a relatively new trend in the financial infrastructure world, but it has rapidly earned the trust of banking institutions. This trust has paved the way for traditional finance (TradFi) players to bring more investors into the web3 era. Taurus stated that their partnership with Cité Gestion will provide a secure and compliant tokenized security issuance and listing to Cité’s shareholders.

The tokenization of the bank’s shares will offer its shareholders additional features and enhanced encryption. This will make it easier for investors to keep track of their investments and ensure that their assets are securely stored. It will also enable the bank to access a new pool of potential investors and expand its presence in the blockchain-based payment industry.

Cité Gestion’s tokenization of its shares is the first step towards a larger shift in the banking sector towards digital assets. This move will make it easier for banks to offer their services in a secure and efficient manner, as well as open up more investment opportunities to their customers. The tokenization of assets is quickly becoming a norm in the finance industry, and Cité Gestion’s move is likely to encourage other banks to follow suit.