Alternative investment managers from Apollo Global and investment company Hamilton Lane are launching a joint platform using blockchain technology.
The parties plan to offer the market a new financial instrument, the movement of which will be fully recorded in the public blockchain. The group plans to create a joint fund and use technology known as Provenance, which serves as a single ledger for issuing and accounting for the movement of tokenized securities, as well as derivatives between investors.
“What we have in mind should become a systemic trend for the migration of funds to the blockchain. These are not crypto assets. But using the blockchain, we can get rid of intermediaries in the markets,” said the project participants.
Apollo CEO Marc Rowan assured that the tokenization of financial instruments and the launch of a new fund will not only help reduce costs, but also provide stakeholders with comprehensive data using blockchain technology. The businessman added that the creation of the fund is in line with Apollo’s strategy, which involves simpler capital requirements for issuers, as well as the return of money to sponsors. Rowan promised that in the future, Apollo is considering using stablecoins to facilitate the subscription of investors to securities issues and the subsequent distribution of funds.
In 2020, the VeChain platform joined the APAC Provenance consortium, which focuses on bringing blockchain and other technologies to the supply chain. At that time, Provenance had already received millions of dollars in funding for pilot projects to authenticate and track food, wine and other goods using blockchain in the Asia-Pacific region.
Source: Bits
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