ARAX, a leading blockchain development company, and Longevity Capital Company (LCC), a bond issuer, have joined forces to revolutionize the life settlement investment sector. The collaboration between the two companies has resulted in the creation of a tokenized fractional life settlement bond platform, which aims to increase transparency and provide broader access to this traditionally exclusive investment avenue.
Life settlements involve the sale of life insurance policies by policy owners to specialized buyers, usually companies or investors, in exchange for a lump sum payment. The buyer then assumes responsibility for future premiums and receives the death benefit upon the insured person’s passing.
Under the partnership, ARAX and LCC will establish VERAT, a platform with equal ownership that seeks to transform the life settlement industry. VERAT will offer innovative solutions for banks, insurance companies, investment fund managers, and individuals interested in life settlement bonds. By leveraging blockchain technology, the platform will tokenize life settlement bonds, making them more accessible to a wider range of investors.
VERAT will provide real-time valuations of life settlement assets, enabling investors to make informed decisions. The platform also boasts several features designed to ensure compliance with regulatory requirements. CorePass, the digital identity verification tool, simplifies compliance with Know-Your-Customer (KYC) and Anti-Money Laundering (AML) regulations. Additionally, VERAT incorporates Core RegTech, a regulatory technology solution that guarantees users adhere to applicable rules.
The introduction of VERAT represents a significant milestone in the democratization of life settlement bond investments. Tokenization allows for lower investment thresholds, enabling individual and smaller-scale investors to participate in an asset class that was previously inaccessible to them. This increased inclusivity enhances market liquidity and fosters a more diverse investment landscape.
The VERAT initiative offers numerous advantages for the life settlement industry. Tokenization reduces investment barriers, increases liquidity, and allows for the purchase of fractional bonds. Real-time valuations empower investors with data-driven decision-making, while streamlined compliance procedures and lower overhead costs make the platform even more appealing.
Through their partnership, ARAX and LCC are poised to disrupt the life settlement investment landscape. By harnessing the potential of blockchain technology, VERAT aims to establish a transparent, accessible, and efficient financial ecosystem for investors of all sizes.
FAQ:
1. What is the collaboration between ARAX and LCC about?
The collaboration between ARAX and LCC aims to revolutionize the life settlement investment sector by creating a tokenized fractional life settlement bond platform.
2. What are life settlements?
Life settlements involve the sale of life insurance policies by policy owners to specialized buyers in exchange for a lump sum payment. The buyer then assumes responsibility for future premiums and receives the death benefit upon the insured person’s passing.
3. What is VERAT?
VERAT is a platform established by ARAX and LCC with equal ownership. It aims to transform the life settlement industry by offering innovative solutions for banks, insurance companies, investment fund managers, and individuals interested in life settlement bonds.
4. How does VERAT leverage blockchain technology?
VERAT leverages blockchain technology to tokenize life settlement bonds, making them more accessible to a wider range of investors. It also provides real-time valuations of life settlement assets and features compliance solutions.
5. What compliance solutions does VERAT offer?
VERAT incorporates CorePass, a digital identity verification tool, to simplify compliance with Know-Your-Customer (KYC) and Anti-Money Laundering (AML) regulations. It also includes Core RegTech, a regulatory technology solution that guarantees adherence to applicable rules.
Definitions:
– Life settlement: The sale of life insurance policies by policy owners to specialized buyers in exchange for a lump sum payment.
– Tokenization: The process of converting an asset or right into a digital token, usually using blockchain technology.
Related Links:
– ARAX
– Longevity Capital Company (LCC)