• What's Drippin'
  • Posts
  • 🛻 INX and Trucpal Announce Blockchain-Enabled Distribution

🛻 INX and Trucpal Announce Blockchain-Enabled Distribution

🇸🇻 A Wrench in Bukele’s Volcano Bonds

Gooood morning, Rainmakers! ☀️

As always, we have two captivating topics for you to dive into:

1️⃣ 🛻 INX and Trucpal Announce Blockchain-Enabled Distribution

2️⃣ 🇸🇻 A Wrench in Bukele’s Volcano Bonds

Without further ado, it's time to…

Get liquid💧

A message from the STM Crowdfund:

The Security Token Market Crowdfund comes to a close THIS FRIDAY, March 31st, 2023! We’re grateful to all our investors around the world who have supported us so far in our journey toward revolutionizing capital markets. If you haven’t had a chance to invest yet you still can, just click here to go to Securitize, make your account, and get a piece of STM.

Want to hear directly from current investors? Join our Investor Panel this Wednesday, March 29th at 12pm EST to learn why they invested, ask them questions directly, and more! See you on Twitter Spaces!

🛻 INX and Trucpal Announce Blockchain-Enabled Distribution

Do you guys remember Trucpal’s security token offering on INX.One? I do, but here’s a refresher from when it was announced.

TLDR:

  • Trucpal’s parent company, HGC (BVI) Info Tech Ltd. (HGC), is a leading SaaS company serving the Chinese freight market.

  • With an annual output value of $1.5 trillion in 2020 and annual transportation volume of 52.1 billion tons in 2021 in the Chinese freight market, HGC believes that China is the world’s most promising digital freight market.

  • RegD/RegS offering in July 2022 (US Accredited and Non-US Investors)

  • Almost a year later, Trucpal and INX are offering Trucpal tokenholders a dividend in USDC

Capiche?

For issuers, HGC's dividend payout with INX enables greater opportunities to cut operational costs, engage with investors on a deeper level and raise capital. For investors, it provides liquidity and an opportunity for additional wealth creation that wasn't available before.

This dividend is coming to investors more than 6 months ahead of schedule, bringing this security token journey full circle. From token issuance, business development, revenue acquisition to dividend payment to investors, the HCG CEO feels this proves their full implementation with INX.One.

Not only that but Trucpal is now confident in accelerating their system expansion which they expect to drive faster user growth and sustainable growth returns for ecological stakeholders.

Considering how much goes into trucking, this seems like an interesting idea for ESG purposes yet keeping up with freight demand especially in such a populated country such as China thanks to Trucpal’s logistical solutions.

INX is widely known as a leader in the tokenized securities space with their SEC-registered transfer agent and first SEC-registered digital security IPO closing $84M from 7250 retail and institutional investors.

However there seems to be some dispute on Twitter on their claim to be the “first-ever blockchain-enabled dividend distribution." Let us know your thoughts! 👀

🇸🇻 A Wrench in Bukele’s Volcano Bonds

There has been news of bonds coming out of El Salvador to fund their Bitcoin mining operation using volcano energy. So far the expectation has been that they’d be open for investment in the summer of 2023, however…

This offering is expected to take place on Bitfinex, but according to the platform’s CTO the bonds may not be bonds after all. They’ll be shares of an operating company for this endeavor.

Let’s take a step back and look at the timeline.

El Salvador has already solidified a law permitting digital securities to be issued back in January of this year with a whopping 62-16 vote. This created legal framework for the issuance of the $1B bond and created new entities to oversee this operation such as the National Bitcoin Office, National Digital Assets Commission, and Bitcoin Fund Management Agency.

The problem, however, is that

When the idea of putting Bitcoin bonds was put forward, US Treasury interest rates were much lower. And this product, the bonds, would have generated a return of 7% per year.

Paolo Ardoino, CTO at Bitfinex

According to the CTO, as rates reach 4.5% this makes the bond products harder to sell. Instead, feedback from potential investors suggests the best pivot moving forward would be to turn the bond offering into an equity offering.

This would make tokenholders owners of the mining operation in El Salvador, an entity their government should now be forming.

Should we start referencing them as “Volcano Shares” instead of “Volcano Bonds” then?

Follow STM on Twitter, LinkedIn, and of course visit STM.Co for developments on this news!

💦 What Else is Drippin’

The STA Success Network has officially released early access for founding members! What’s the Success Network?

Security Token Advisors is building a platform dedicated to connecting industry stakeholders to each other, their exclusive research, STM reports, and more. Some exciting names have already joined! 🤫 

Want to check it out? Go to Success.SecurityTokenAdvisors.com to learn more!

Founding Member Status is ONLY available until April 3rd, 2023

This year's edition is all about the most significant moves in the institutional adoption of tokenized assets, and let me tell you, it's MASSIVE. We've got all the heavy hitters you'd expect, like KKR and JPMorgan, but also some exciting new players like AllianceBernstein, Figure & Provenance, and Regulated Liability Network (RLN).

Trust us. You won't want to miss this deep dive into the world of institutional security tokens. So sit back, relax, and get ready to be wowed by all the action in The State of Security Tokens 2023 - Institutional Edition.👇

State of Security Tokens 2023

Everything in this report is for informational and entertainment purposes only. Nothing in this report should be taken as financial advice or as an inducement to purchase or sell any security. Nothing in this market report should be used as legal advice. Always do your own research before making any decisions regarding financial transactions of securities.

Disclosures:

• No money or other consideration is being solicited, and if sent in response, will not be accepted;

• No offer to buy the securities can be accepted and no part of the purchase price can be received until the offering statement is filed and only through the platform of an intermediary (funding portal or broker-dealer); and

• A person’s indication of interest includes no obligation or commitment of any kind.