The underlying tokenized asset is a call warrant option on shares of Chinese smartphone giant Xiaomi.
Swiss multinational bank UBS' Hong Kong subsidiary, has tokenized an investment warrant on the Ethereum blockchain together with cryptocurrency exchange OSL.
According to the Feb. 7 announcement, the tokenized product is an options call warrant with Chinese smartphone giant Xiaomi Corporation as the underlying stock. After tokenization, the digital asset was then sold to the OSL Exchange.
"We are simulating the whole product life cycle of an equity-linked structured product token, from token mint, through simulated secondary market transactions, and finally to token burn at maturity," commented OSL CEO Patrick Pan. Meanwhile, Winni Cheuk, head of sales at UBS Global Markets, said that the novel product "enhances transparency, reduces transaction fees, streamlines settlement processes, and allows for more flexible trading hours."
