Moscow, August 3, 2022 – Nornickel placed a pilot issue of digital financial assets (DFAs) on the Atomyze blockchain platform. The DFAs value mirrors the company’s payables, which were issued to Nornickel’s production equipment supplier and onsold to Rosbank as an investor.

With this pilot project, Nornickel seeks to test the platform functionality and operating specifics when issuing and transacting in DFAs. The digital financial assets were dubbed New Money Market (NMM) and are set to become a promising financial product in short-term trade finance and highly liquid and reliable investments.

These assets serve as Nornickel’s unconditional financial obligation to repay the funds to the investor (DFA holder) on the date determined by the offering documents. As such, the DFAs represent Nornickel’s pure credit risk and rank among the best debt assets in Russia in terms of quality and reliability.

The NMM digital financial assets combine the advantages of traditional paper-based financial products such as factoring instruments and short-term bonds.

On top of their universal and multi-purpose nature, NMM DFAs provide their holders with all the unique features of a blockchain-based digital financial asset:

paperless digital form of transacting via a native interface on the Atomyze platform;
smart contract based settlements with instant delivery of assets or money;
absolute reliability and verifiability of DFA rights enabled by blockchain technology;
possibility of splitting, ease of DFA rights transfer in the secondary market;
no dependence on the central counterparty or intermediaries, while DFA rights are always kept by the owner and verified on the blockchain at any time.

If successful, the pilot project opens up broad prospects for scaling up the circulation of NMM DFAs and expanding the range of digital financial assets through new platform solutions and products for other needs of issuers and investors.

Alexander Gavrilov, Head of Treasury Department at Nornickel, commented: “We hope that our pilot project with the NMM digital financial assets creates the necessary prerequisites for a new round of development of the Russian financial market, when industrial companies will offer the broad market financial products to address their current business needs. The pilot project is another important step in the implementation of Nornickel's comprehensive digital transformation strategy. The scaling up of this project will significantly expand and make more efficient the company's working capital and free liquidity management tools.”

FOR REFERENCE

Atomyze is an open platform for digitalisation of various assets and processes built up on distributed ledger technologies within the framework of current legislation (including, but not limited to, digital financial assets). Its mission is to open up new opportunities for the digital economy, find out new business models and profitability drivers, improve the efficiency of business processes, and improve customer experience. For more details, please visit: https://atomyze.ru/

Nornickel places debut issue of digital financial assets on Atomyze blockchain platform