Backed MicrosoftPrice

(BMSFT)

bMSFT (Backed Microsoft) is an ERC-20 token issued by Backed Finance. It functions as a tracker certificate, designed to mirror the price movements of Microsoft Corp. (MSFT) common stock. This token allows eligible non-U.S. investors to gain exposure to the value of S&P 500 companies, such as Microsoft, directly on the blockchain. It provides an on-chain representation of a traditional equity.

Each bMSFT token is fully backed on a 1:1 basis by actual Microsoft stock. These underlying assets are securely held by licensed third-party custodians, ensuring full collateralization. This structure enables the token's value to directly track and mirror the price of the physical Microsoft stock. Investors can then trade these tokens on blockchain networks, with their value inherently linked to the traditional asset it represents.

bMSFT is specifically designed for eligible non-U.S. investors. The issuer, Backed Finance, strictly prohibits the sale of these tokens to U.S. Persons or for their benefit. Furthermore, bMSFT tokens are not marketed, offered, or solicited within the United States or any other jurisdiction that is deemed prohibited. This focus ensures compliance with specific regulatory frameworks, making it accessible only to a defined international audience.

Tokenized equities like bMSFT offer several advantages. They provide investors with exposure to traditional financial markets while allowing assets to remain on-chain, enabling self-custody. A key benefit is the ability to trade these assets 24/7, leveraging the always-on nature of blockchain infrastructure. Additionally, bMSFT can be integrated into various decentralized finance (DeFi) applications, serving purposes such as collateral for on-chain loans, enhancing liquidity and utility within the digital asset ecosystem.

No, bMSFT is not a direct investment in Microsoft stock. Instead, it functions as a tracker certificate, meaning its value is designed to closely follow the price movements of Microsoft's common stock. It provides a tokenized representation of the equity on the blockchain. Investors acquiring bMSFT do not hold direct ownership of the underlying physical Microsoft shares and therefore do not receive traditional shareholder rights associated with direct stock ownership.

Investing in bMSFT carries inherent risks, similar to other cryptocurrencies and tokenized assets. Primary concerns include market volatility, where the token's value can fluctuate significantly. Investors should be aware that while bMSFT is collateralized by real-world assets, the regulatory environment for tokenized securities is still developing and may evolve, introducing potential uncertainties. It is strongly recommended that all prospective investors consult the official prospectus to gain a comprehensive understanding of all potential risks and rewards before committing to any investment.