Wave Digital Assets launches Wave Kentucky Whiskey 2020 Digital Fund
What's the deal? Wave Digital AssetsDealroom has a profile for this one. Try Dealroom → received its first round of client investment for the Wave Kentucky Whiskey 2020 Digital Fund, an investment vehicle that tokenizes bourbon. The firm also purchased 1,000 barrels of Kentucky whiskey to tokenize for prospective investors.
What's the endgame? The offering gives investors exposure to whiskey's value appreciation as it ages, plus a share of proceeds when the whiskey is sold to wholesalers. Wave launched the fund in March 2020.
Why bourbon? Wave points to the stability of aging Kentucky whiskey over its roughly five-year maturation period.
"Our extensive research has shown that the returns from aging Kentucky bourbon are very stable and strong over the circa five-year period it spends in barrels before being bottled," said Benjamin Tsai, president at Wave Digital Assets. "So we are delighted to be able to provide investors with exposure to this price appreciation."
The signal: Wave is applying tokenization to a physical, income-generating asset — an early test of whether blockchain wrappers can open illiquid commodities like aged spirits to a wider pool of investors.
Read more: AlexaBlockchain
Image credit: Colbyt69
