Odaily Planet Daily News Receipts Depositary Corporation (RDC), a startup founded by former Citigroup executives, plans to launch XRP-backed securities, which will enable institutions to gain exposure to XRP securities through a regulated market infrastructure in the United States.
The company will offer depositary receipts similar to American Depositary Receipts (ADRs), representing foreign stocks on U.S. stock exchanges. The product will only be offered to qualified institutional buyers through transactions exempt from registration under the Securities Act of 1933. Therefore, it does not require approval from the U.S. SEC. These securities will be cleared by the Depository Trust Company (DTC), similar to the Bitcoin and Ethereum-backed securities already offered by RDC. (CoinDesk)
In January last year, Receipts Depositary Corporation (RDC) announced plans to offer securities backed by Bitcoin, saying that such securities do not require approval from U.S. regulators. RDC's new product, called Bitcoin depositary receipts, will be similar to American depositary receipts representing foreign stocks.
RDC said the offering, called BTC DR, will allow institutions to access bitcoin securities through a U.S.-regulated market infrastructure and clear through the Depository Trust Co. RDC is backed by Franklin Templeton, BTIG and Broadhaven Ventures, among others, according to its press release.