Exclusive Access for Qualified Investors, with Plans for Wider Availability
Nornickel’s digitalisation firm, GPF Investments (GPFI), has launched a new range of digital tokens linked to platinum group metals, including platinum, palladium, ruthenium, and iridium, the top palladium miner said in a statement on Thursday. Currently, these tokens are available only to qualified investors, identified based on their market experience. However, plans are in place to extend access to all clients of partner banks connected with the Atomyze blockchain platform.
Token Issuance and Investment Flexibility
GPFI has issued 1,255 digital financial assets, equivalent to roughly RUB 2.5 million. Each token represents one gram of the corresponding metal. These digital assets for platinum group metals have a one-year maturity, with several options for early redemption, allowing investors to choose a maturity date and capitalize on favorable metal prices.
Pricing and Initial Token Release
The pricing of platinum and palladium tokens is based on the London Bullion Market Participants Association (LBMA) evening rate, converted at the rouble-dollar exchange rate set by the Bank of Russia. Ruthenium and iridium tokens will follow pricing set by the British chemical company, Johnson Matthey.
The initial release targeted three private investors, including Nornickel’s Vice President for Sales and Commerce Anton Berlin. This step is seen as a significant move towards broader investor access as the necessary infrastructure and legal frameworks continue to develop.
Potential Market Impact and Future Plans
Anton Berlin, Vice President and Head of Sales and Commerce at Nornickel, highlights the unique nature of GPFI’s tokens in the financial market. He notes the critical role of platinum and palladium in the automotive industry and their potential in emerging sectors like hydrogen energy. Iridium and ruthenium, too, are anticipated to see a surge in demand due to innovative applications.
Vladimir Pronsky, CEO of GPFI, remarks on the shifting investor trends towards protective assets such as precious metals. He notes the growing attractiveness of precious metals as financial assets and expresses enthusiasm for offering reliable financial instruments to investors.
GPFI, under Nornickel, specializes in selling base and precious metals through digital technologies. The firm is planning a series of public issues of digital financial assets (DFAs) in Russia, covering various metals, including nickel, copper, platinum, palladium, and gold, for qualified investors.