#bStocksCIS I'm used to seeing bStocks as a way to get the actual share in another form, but the bStocks documentation @BinanceCIS forced me to draw a different line. A bStock is legally a certificate, not a share: Certificate representing certain Financial Instruments, paragraph 92, Schedule 1 to FSMR. And that already changes how I view my balance.
BTech Holdings Limited, an affiliate of Binance, issues this instrument in the regulatory context of ADGM/FSRA. Behind it is the real underlying share with 1:1 backing held in a regulated custodian. So it isn't just a digital copy of the stock, as I first imagined. The legal structure turned out to be completely different here.
Whatโs even more interesting is this: I get an economic exposure to the price of the underlying share and its dividends, but I don't become its shareholder. Dividends are automatically reinvested, and voting rights and other shareholder privileges don't belong to me. This is where the main boundary lies for me.
I can receive an economic result related to the share, but legally I hold a different instrument. I used to look at bStock because of what it gives me, and now I look at it also because of exactly what I own.
BTech Holdings Limited, an affiliate of Binance, issues this instrument in the regulatory context of ADGM/FSRA. Behind it is the real underlying share with 1:1 backing held in a regulated custodian. So it isn't just a digital copy of the stock, as I first imagined. The legal structure turned out to be completely different here.
Whatโs even more interesting is this: I get an economic exposure to the price of the underlying share and its dividends, but I don't become its shareholder. Dividends are automatically reinvested, and voting rights and other shareholder privileges don't belong to me. This is where the main boundary lies for me.
I can receive an economic result related to the share, but legally I hold a different instrument. I used to look at bStock because of what it gives me, and now I look at it also because of exactly what I own.