Bitfinex Securities Introduces El Salvador’s First Tokenized Debt to Fund New Hilton Hotel

Bitfinex Securities, El Salvador’s first approved and regulated digital asset company, announced plans to launch a tokenized debt offering to finance and build a Hampton by Hilton hotel complex near the nation’s international airport.

A token, identified by the ticker HILSV, will become available for trading and can be exchanged for both U.S. dollars and tether (USDT). The issuance of HILSV will take place on the Liquid Network, which is a sidechain connected to Bitcoin, as stated in a recent press announcement.

As tokenization gains momentum, with an increasing number of new offerings emerging each month, investors and traders are presented with fresh opportunities. The conversion of conventional debt instruments like bonds and loans into digital tokens on blockchains is known as debt tokenization.

Inversiones Laguardia S.A. de C.V. intends to sell $6.25 million worth of debt securities. These securities come with a 10% annual coupon payment for a five-year term. Each investor must initially invest a minimum of $1,000.

The construction project encompasses approximately 4,813 square feet spread over five stories, featuring around 80 accommodating units. It boasts of an enticing swimming pool, eateries, and commercial areas amongst its offerings. However, it is important to note that Hilton Hotels has not given its approval for this venture and assumes no liability, as stated in the press communique.

In early 2024, Bitfinex Securities became El Salvador’s inaugural registered and licensed digital asset service provider, marking their entry into the market.