Bitfinex Securities' $100K minimum fee undercuts cheap tokenized capital pitch
- —A $5M one-year bond pays a $100,000 issuer fee instead of $20,000 under the 0.4% formula
- —The minimum issuer fee is five times the formula-based charge
- —Equity fees are progressive from 4%, while bond fees depend on remaining time to maturity
- —Luxembourg fund ALTERNATIVE has four issues totaling $6.2M, with $1M-equivalent repaid
Why it matters: The high minimum fee limits tokenization to larger issuers, undercutting the promised reduction in capital costs for smaller businesses.
Source: CryptoSlate