With the help of major venture corporations, including Andreessen Horowitz (a16z), an asset tokenization platform TrustToken raised $20 million in a strategic token sale.
The startup backed by BlockTower Capital and Danhua Capital declared that the cash raised in the funding effort would be used to proceed to expand its platform, which seeks to list different tokens back by physical assets.
TrueUSD also called a “stablecoin” was already released by TrustToken.
Danny An, chief executive of TrustToken, stated that:
“The support of these leading investment firms represents a significant step towards our goal to build a compliant tokenization platform for currencies, commodities, and real-world assets. We will draw on the combined expertise and network of these firms as we grow our industry partnerships and extend the reach of our first product, TrueUSD.”
According to the release, the raised funds will also aid TrustToken to expand its legal, product and engineering departments.
The managing partner at BlockTower, Ari Paul, expressed the potential of blockchain technology and the reasons for the investment in a statement. Paul mentioned that the tokenization of real-world assets will create value much in the same way that ‘equitization’ did.