Guggenheim Capital launches $20 million digital paper on Ethereum
It reflects increasing institutional demand for secure blockchain solutions and the potential for significant growth in digital finance.
Guggenheim Treasury Securities (GTS) has entered the blockchain arena by issuing $20 million in Digital Commercial Paper (DCP) on Ethereum, receiving a strong P-1 credit rating from Moody’s. This move is facilitated through the AmpFi.Digital platform, developed by Zeconomy, which focuses on tokenisation services for qualified investors. Zeconomy’s CEO, Giacinto Cosenza, expressed excitement about addressing the need for secure blockchain solutions, especially as the market for tokenised US treasuries now exceeds $2 billion.
The increasing interest from traditional finance firms highlights a shift towards digital assets, with significant participation from players like BlackRock and Franklin Templeton. BlackRock’s tokenised fund BUIDL has a market cap of over $513 million, while Franklin Templeton’s FOBXX follows closely behind. Cosenza noted that recent developments, such as the approval of crypto exchange-traded funds in the US, underscore a growing institutional demand for crypto solutions.
Ethereum continues to play a key role, with nearly $1.6 billion of all tokenized US treasuries issued on its platform. Meanwhile, Solana is making strides in the space, holding 5.5% of the tokenised US government securities market. Firms like Franklin Templeton and Citigroup are now looking to Solana for future financial products, indicating the blockchain’s potential for growth and innovation in digital finance.
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