Bolivian Cattle Ranch Will Be Tokenized to Open Up Business to Investors

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30 November 2020

A new revenue-sharing token will make the value of cattle held at a Bolivian ranch available to investors.

Announced Monday, Swiss crypto advisory firm Finka will leverage blockchain infrastructure provider CoreLedger to open up “opportunities for traditional investors” by allowing them to trade cattle ranching digitally.

According to the companies, tokenizing the business will allow trading similar to in a traditional barter economy,

Finka’s native token will be used to facilitate trades every time cattle from the La Pradera ranch in Bolivia are sold, with a share of the profits then distributed to holders of the token.

The token is being claimed as the first blockchain-based financial instrument in Switzerland to hold an International Securities Identification Number, the universally recognized identifier for securities.

“The Finka Token is unique in that it has a built-in link to a secondary market within the CoreLedger platform,” said CoreLedger CEO Johannes Schweifer. “Holders can convert the token into other tradable assets, literally anything from gold to oil or corn.”

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Finka’s token is the result of collaboration with other Swiss service providers including banks, engineers, legal advisers and investors, per the release. A special tax ruling means the token is exempt from Swiss withholding tax.

“We’re using cattle ranching as a low-risk activity on which to develop a financial instrument supported by blockchain,” said Finka’s founding partner, Carlos Fernandez Mazzi. “We’ve built a good roadmap for other industries to be able to create their own financial instruments for application in other areas of the economy.”

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