A new milestone has been reached in the French financial markets. On October 13, the AMF and the ACPR gave the green light to LISE SA, the first tokenized equity platform. Experts from AURIS Finance provide their analysis.
A New Platform for Market Access
The platform, developed by the start-up LISE (Lightning Stock Exchange), is now a reality. Describing itself as “Europe’s first tokenized equity market infrastructure,” LISE aims to redefine access to market-based financing. The start-up has created a regulated exchange offering both retail and institutional investors a selection of companies previously excluded from public markets—namely, SMEs and mid-cap companies that had no prior access to financial markets.
A New Financial Tool
LISE SA obtained regulatory approval to test the issuance and trading of tokenized shares, meaning company equity converted into digital units. Once tokenized, these securities are recorded on the blockchain, a decentralized technology that ensures transaction traceability and security. The authorization to operate a blockchain-based trading and settlement system falls under the European DLT Pilot Regime, allowing blockchain use within a regulated framework. This is the first authorization of its kind in the European Union.
Unprecedented Regulatory Framework
The DLT Pilot Regime came into effect under the ESMA on March 23, 2023. It authorizes the creation of DLT (Distributed Ledger Technology) infrastructures—trading, settlement, or combined platforms—capable of performing market and post-market functions. The regime comes with conditions: only companies with a market capitalization under €500 million are eligible, and the total volume of tokenized securities under the pilot cannot exceed €6 billion.
Opportunity for SMEs and Mid-Caps
This platform is particularly suited for SMEs and mid-cap companies. For these companies, tokenization could represent a real opportunity. Traditionally, IPOs posed significant barriers—costs, lengthy processes, communication requirements, and intermediaries. LISE SA’s tokenization allows direct market access without intermediaries. It also opens the platform to retail investors, democratizing investment in non-listed companies.
The Rise of Tokenization
Tokenization of shares and financial instruments has grown rapidly in recent years. The market could reach $2 trillion within the next five years.
Initially considered a niche alternative to traditional markets, blockchain-based tokenization has now become a strategic financing tool for companies. Its regulation by authorities such as the AMF and ACPR provides reassurance for both companies seeking funding and investors. With LISE SA’s approval, France positions itself as a European testing ground. If successful, this experiment could pave the way for institutionalizing blockchain in market infrastructures.
Our Experts by Your Side
To grow, French SMEs and mid-cap companies are constantly seeking financing. Traditional solutions exist, but new opportunities are emerging, such as the LISE platform. Experts at AURIS Finance, specialized by sector, work alongside you to choose the best financial partner.
