Admitting security tokens on SOL

Security tokens have recently garnered significant interest in financial markets. They represent financial instruments that are issued on a distributed ledger, allowing for a fully digital issuance and servicing process. Due to their innovative characteristics, security tokens have the potential to significantly improve efficiency and transparency, and make transactions safer and more resilient – all while offering benefits similar to traditional securities.

As described under the Scope section below, the present page places special emphasis on security tokens representing debt financial instruments, introducing a new solution for debt capital markets.

Security tokens now admitted on SOL

At LuxSE, we strive to stay at the forefront of technological innovation, shaping the future of capital markets by providing our customers and partners with comprehensive services and solutions to benefit from new opportunities and meet their evolving business needs.

The display of the security tokens on SOL will not only provide enhanced visibility but also facilitate the dissemination of indicative prices and securities data for this new form of financial instruments.

As such, starting from January 2022, LuxSE admits security tokens to be registered onto the Securities Official List (SOL), a section of our Official List. The security tokens will not be admitted to trading on the LuxSE.

Bringing your security token to SOL

To guide issuers throughout the admission process, we have produced guidelines for the registration of security tokens onto SOL.

These guidelines, which will evolve over time to reflect new legal and regulatory developments, also define the additional information that issuers of security tokens need to provide and that is specific to this new technology used to record, transfer and store securities.

Guidelines for the registration of DLT Financial Instruments onto the Securities Official List

Scope

Given the complex nature of security tokens, only experienced issuers and applicants with a track record can avail of this new service. Moreover, only financial instruments, and more specifically debt financial instruments issued as security tokens can be admitted on SOL at this stage. Securities must be priced in fiat currency and offers must be limited to qualified investors or issued in wholesale denominations. In order to be considered for admission onto SOL, security tokens must respect both the SOL Rulebook as well as the Guidelines for the registration of DLT Financial Instruments onto the Securities Official List.

More information

Given the many questions surrounding DLT and blockchain, the Commission de Surveillance du Secteur Financier (CSSF) – Luxembourg’s financial regulator – has published a whitepaper sharing its advice related to the design or implementation of a project using DLT.

Recent admissions

Contact us

Carlo Houblie

Commercial Director

+352 47 79 36 471 cho@bourse.lu

Ronny Alf

Product Manager

+352 47 79 36 229 ral@bourse.lu

Quick links

The LuxSE Group is composed of the Luxembourg Stock Exchange (LuxSE) the leading listing venue for international securities and Fundsquare, its wholly-owned subsidiary specialized in delivering to the fund industry an efficient and standardized infrastructure for the exchange of information.