Horizon Globex GmbH (“Horizon”), the FinTech company that builds, licenses and operates securities exchanges, and joint venture partner MERJ Exchange Limited (“MERJ”), just announced the launch of the tokenized Special Purpose Acquisition Companies (“SPAC’s”) that will list on Upstream, Horizon’s revolutionary stock exchange and retail trading app for digital securities. This is the world’s first blockchain-based SPAC IPO marketplace, aiming to give retail investors direct access to SPAC IPOs using stablecoins or fiat.
As of March 1, 2021, 189 SPACs have raised over $60 billion in gross IPO proceeds. In 2020, a record year for SPACs, 248 companies raised over $83 billion. Europe also recently entered the SPAC race netting $495 million in 2020, with other jurisdictions expected to follow. Horizon’s tokenized SPACs will be the first to be offered to crypto and retail investors that trade on Upstream, a regulated stock exchange app that will be available on the App Store, and Google Play.
Upstream’s tokenized SPAC methodology is built on the blockchain standard, as used throughout the “DeFi” space by crypto investors. Investors participate in SPAC IPOs using the USDC stable coin or fiat. Upstream traders hold and trade tokenized shares and warrants immediately following the IPO from their smartphone. Once an acquisition is identified by the SPAC management team, shareholders have the right to vote in the app to approve or decline the acquisition. All SPAC IPO funds are secured with regulated custodians, and investors are guaranteed 100% of their investments returned if they decline the acquisition.
“The upside for SPACs, like many so-called sophisticated investment vehicles, is typically reserved for the Wall Street elite,” says Horizon President, Mark Elenowitz. “Upstream will offer crypto and retail investors from all over the world transparent and equitable access to SPACs through a user-friendly app for our investors who demand more equitable access to capital markets, with the security of a blockchain.”
“Offering SPACs on our next generation, blockchain-based exchange gives crypto investors a fair and decentralized entry into the booming SPAC IPO market. Upstream traders will experience the best offers transparently displayed and executed on a blockchain without predatory market-makers, short-selling, wash trading or other market manipulations,” Horizon CEO, Brian Collins.
Upstream’s first bunch of tokenized SPACs are expected to be available to global investors commencing mid Q2, 2021. The anticipated SPAC IPO sizes will be US$25 million to US$100 million. Investors are encouraged to join the waitlist now at https://upstream.exchange/spacs as investment opportunities will be allocated on a first come, first served basis.