Switzerland-based private bank Cité Gestion has reportedly teamed up with Taurus technology to tokenize and manage its company shares on the Ethereum blockchain.
As per Coindesk’s report, Cité Gestion will leverage Ethereum’s smart contract functionalities to create, distribute and manage the servicing of its shares.
Taurus said that the tokenization of Cité Gestion’s shares was executed in accordance with the Capital Markets and Technology Association (CMTA) standards.
Cité Gestion Deputy CEO Christophe Utelli remarked that the application of the CMTA standards will ensure that adequate risk management is considered while issuing the tokenized assets.
“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.”
Cité Gestion will reportedly become the first private bank to issue its own securities under Swiss law.
Since its inception in 2018, Taurus has helped over 15 companies tokenize their securities across Switzerland and Europe.
According to Taurus, the digitalization of private assets and securities will become the new standard.