How Can a Bank Build a Profitable Platform that Allows Swiss SMEs (small and medium-sized enterprises) to Issue Equity Shares in the Form of Security Tokens and Sell them to Swiss Private Investors?

Abstract

The current Private Equity market is restricted to high-net-worth individuals and financial institutions, with direct investments usually being of around 20 million Swiss francs. With the adaptation of DLTs, private small and medium-sized companies (SMEs) can open a fraction or all their shares to be traded. This new opportunity brings change to both the way companies were traditionally able to gain capital as well as to investors that wish to invest in private companies. The research aimed to examine the opportunities for a large bank and what kind of customers would be attractive.