Founders of renowned digital asset market maker are launching new venture focused on making bonds accessible to the broader market
PV01 announces their new platform with a novel approach to digitizing the bond market. Targeting both the traditional fixed income and digital asset markets, PV01 is designed to underwrite bonds, tokenize those bonds and as a dealer, provide liquidity in those securities, all on public blockchains. The result will be a more efficient way for issuers to raise capital and investors to purchase high-quality debt, providing broader access for the market to investment opportunities through tokenization. PV01’s model provides better visibility into ownership using smart contracts and a frictionless method of transferring debt.
“Historically it has been difficult for investors, especially smaller ones, to hold bonds. They typically are only accessible to large institutional participants leaving many investors on the outside looking in,” said Max Boonen, CEO and Founder of PV01.
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A $9M initial investment round was secured in December 2022 with lead investors including Tioga Capital, BlockTower Capital and Sino Global Capital. “The PV01 platform distributes assets across a broader spectrum of market participants and serves as a much-needed foundation to upgrade the digital bond market,” said Nicolas Priem, Managing Director and CIO at Tioga Capital.
Traditional fixed income market improvements: Putting bonds on private blockchains defeats the purpose of making investments more accessible. Only a debt market based on public blockchains can make fixed income more democratic and settlements more efficient.
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Digital asset market improvements: PV01 is creating a digital asset bond market where none currently exists. The current patchwork of bilateral loans resulted in large-scale failures due to a concentration of risk in a handful of market participants. Issuing and tokenizing bonds on the blockchain increases the visibility into who owes and owns the debt. Tokens behave economically like securities, except with easy transferability on the blockchain.
The Team: PV01 is a uniquely qualified group of business builders with the traditional capital markets expertise and institutional-grade digital asset experience required to evolve debt markets. Prior to founding digital asset pioneer B2C2, Max Boonen was an interest rates trader at Goldman Sachs and Flavio Molendini built trading systems culminating in the groundbreaking OTC dealing platform at B2C2, which was later sold to Japan’s SBI.
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