Stockholm, Zurich, and London, 26 October 2023: Sygnum, the world’s first digital asset bank, today announces an innovative new private debt asset token with Float, a Stockholm-based Capital-as-a-Service company. Fasanara Capital, one of Europe’s largest credit funds in fintech, is acting as a senior lender.
New asset token offering gives clients direct access to a unique new investment opportunity: exposure to a diversified portfolio of private SME loans to European SaaS and technology businesses
Token has a maturity of 18 months and a fixed annual interest rate of 14 percent, with token and investor rights fully recognized and compliant under the Swiss DLT legal framework
Tokenized private debt markets forecast to be worth USD 3.5 trillion* by 2030
The Float Token is a private debt asset token launched by Float** in partnership with Sygnum Bank on the Polygon blockchain. Exclusively available to Sygnum clients, it provides a unique opportunity to invest in a private debt portfolio alongside Fasanara Capital, a leading institutional fintech credit fund manager. The token has a maturity of 18 months with a fixed annual interest rate of 14 percent and quarterly interest payments. The token provides exposure to a diversified portfolio of SME loans to European SaaS and technology businesses.
Float token investors additionally benefit from its on-chain proof of ownership and ease of transferability, lower ticket sizes, and liquidity in Sygnum’s secondary market, SygnEx. The token and investor rights are fully recognized and compliant under the Swiss DLT legal framework.
Fatmire Bekiri, Sygnum’s Head of Tokenisation, says, “The Float Token marks the first time a high-yielding private market instrument is being made widely available to investors through tokenization. This project emphasizes Sygnum’s strategic focus on making private market assets more easily accessible and investable. It is only the first issuance with more to follow.”
Fasanara Capital, one of Europe’s largest tech-enabled credit fund managers, is acting as a senior lender. It manages more than USD 4 billion AuM in fintech strategies, including one of the oldest and largest global digital asset market making funds. Francesco Filia, CEO and Co-Founder of Fasanara Capital, says, “Tokenised debt markets are on the cusp of going mainstream and we expect this asset class to reach USD 3.5 trillion by 2030. This partnership is a breakthrough for tokenization and we are dedicated to bringing even more debt on-chain. We are proud to support bringing Float’s high-performing debt portfolio into Sygnum’s market-leading environment.”
Cedric Notz, CEO and Co-Founder of Float, says, “Revenue-Based Lending (RBL) to European SaaS businesses has one of the best performing risk-return profiles, which has also proven very resilient over time in difficult markets. The issuance of the Float Token – the first private debt asset token – required the close collaboration of experts in lending, debt financing, and tokenization to make it a reality. It is this kind of interdisciplinary, innovative partnership that will transform the face of traditional finance in the future.”
In 2020, Sygnum was the first bank to offer a regulated, end-to-end tokenisation solution comprised of Desygnate, a primary market issuance platform, and SygnEx, a secondary market trading facility. Through Sygnum, investors were able to get trusted exposure to asset classes previously seen as hard to access, like private debt markets, in a direct, fully compliant, and fractional manner.
*Citi Report March 2023: Money, Token and Games
**The Float Token originator is Float Finance AB (Sweden), which adheres to MiFID (or equivalent) requirements.
Float is an alternative lending fintech from Sweden with a geographic focus on the Nordic countries, the DACH region, Benelux, and the Baltics. Specialized in B2B lending to SaaS and other technology businesses of up to 10m€ in revenues, Float uses advanced technology to conduct a more diligent yet faster underwriting process and create a superior customer experience. Float was founded in 2019 and is registered with the relevant financial authorities.
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