Blackmoon, a blockchain-based fintech company, has partnered with Rivver to create a branded exchange-traded index (ETx) for digital assets.
With this, the companies are targeting the issue of liquidity in the cryptocurrency market. Both the companies believe that a token listed on a widely used exchange usually over-valued and the liquidity of the market is the key to define the risk for an investor and the success of the issuer.
According to the statement, Blackmoon-issued ETx will incentivize traders and speculators to take the risk in the market by offering them a fungible financial product to arbitrage for profit which will ultimately create a balanced and stable price for the coin.
Mentioning this development, David Benizri, CEO of Rivver, said: “We are very excited to be collaborating with Blackmoon. Blackmoon’s innovative ETx approach is unique and necessary for the digitized securities ecosystem and we are very happy to be able to offer this added value to our clients.”
Cyprus-registered Blackmoon entered the United States market last year in November with its private coin offerings. Last month, it has also launched a new asset token called Binance ETx which is linked to the performance of the most-traded coins on Binance.
In addition, the firm has introduced an asset token – Prime Meridian Capital token (BMxPMR) – to track the performance of the Prime Meridian Real Estate Lending Fund.
“Blackmoon and Rivver share a vision and it’s because of this that we are pleased to have discovered such an incredible organization to associate with. We are eager to release the Rivver ETx products as soon as possible to offer this amazing investment opportunity to eligible investors globally,” said Moshe Joshua, chief product officer at Blackmoon.