The first licenced and registered issuer of digital assets in El Salvador, Bitfinex Securities, said that it will launch a tokenized debt offering to finance the development of a Hampton by Hilton hotel complex to be built near the nation’s international airport.
The cryptocurrency will be exchanged against the US dollar and tether (USDT) and will be distributed under the ticket HILSV. A press statement states that HILSV will be distributed over the Liquid Network, a bitcoin sidechain.
The issuance coincides with the ongoing acceleration of tokenization, as new offerings that give traders and investors new capabilities appear every month. The act of converting conventional debt instruments, like bonds or loans, into digital tokens on blockchains is known as debt tokenization.
Following its 2021 adoption of bitcoin (BTC) as legal money, El Salvador became the first nation to have more bitcoin than any other.
In addition to providing a 10% coupon over five years, the issuance seeks to raise $6.25 million. Investments must total at least $1,000. By Inversiones Laguardia S.A. de C.V., the tokenized debt will be issued.
Including a swimming pool, dining options, and retail areas, the construction project spans five stories and 4,484 square metres, housing 80 rooms. Based on the press release, Hilton Hotels states that it is merely a franchisor and has not supported any product or service. As El Salvador’s first recognised and licenced supplier of digital asset services, Bitfinex Securities opened for business at the beginning of 2024.