The Jamaica Stock Exchange (JSE) is soon to pilot bitcoin and ether trades with the assistance of Blockstation, a fintech firm based in Canada.
The two companies jointly revealed April 3 that they have inked a partnership to allow live trading of cryptocurrencies including security tokens in a “regulated and secured” environment.
The trial of bitcoin and ether trades is the second phase of the pilot initiative. For the first part, the JSE and Blockstation tested live cryptocurrency trading in January for a 60-day run that witnessed participation from regulated market makers, broker-dealers, and the Jamaica Central Securities Depository.
According to the firm, the goal of the first stage was to “demonstrate the complete lifecycle of the digital asset ecosystem.”
The second phase will witness broker-dealers register and involve retail investors through a know-your-customer process in order to assist them in trading bitcoin (BTC) and ether (ETH), Blockstation said. No particular date was disclosed for the beginning of the trial.
Although the two companies earlier had a relationship set out in a memorandum of agreement inked in August 2018, they have now become partners officially, according to Blockstation.
The partners are seeking to help small and medium enterprises (SMEs) worldwide by offering them a “streamlined and simple” process for transparently and compliantly raising capital through security token offerings (STOs), as part of the partnership.
JSE managing director Marlene Street Forrest stated in the announcement:
“This is an unprecedented opportunity for the JSE to diversify its product offerings and attract new listings and inbound investments.”