Tezos market overview: XTZ/USD surges following billion-dollar STO deal with investment bank

• BTG Pactual and Dalma Capital to use Tezos to launch STO.
• XTZ/USD shot up from $1.02 to $1.23 following the news this Wednesday.

Latin America’s third biggest investment bank, BTG Pactual and the Dubai-based asset manager Dalma Capital announced that they will be using the Tezos blockchain to launch security token offerings. According to a press release:

“By utilizing the new platform for digital securities transactions, the financial institutions address a deal pipeline in excess of $1bn for existing and prospective token issuances – with an outlook to utilize Tezos to tokenize a wide variety of traditional and alternative investments.”

Andre Portilho, BTG’s Partner responsible for the STO initiative, said:

“While the bank remains protocol and technology agnostic, and will continue to utilize the Ethereum protocol, we see Tezos as a global player with a robust blockchain for asset tokenization.”

Zachary Cefaratti, CEO of Dalma Capital, said:

“With blockchain technology now becoming a reality globally, we are delighted to be working with the Tezos Foundation and Tocqueville Group teams, whose technical expertise complements our investment banking and asset management credentials.”

Hubertus Thonhauser, a principal of the Tezos Foundation, said:

“BTG Pactual and Dalma Capital have been leaders in implementing tokenization and blockchain solutions in the realm of traditional investment banking and asset management. We are encouraged by forward-thinking investment banks embracing blockchain as the market progresses to institutionalization and mass adoption.”

XTZ/USD daily chart

Before this news, XTZ/USD was trending in a downwards channel formation, before it spiked up from $1.02 to $1.23 this Wednesday, following this news. Wednesday’s price action was so strong that it pierced past the red Ichimoku cloud and the 20-day simple moving average (SMA 20) curve. Following that, this Thursday, the bears corrected the price and brought it back down to $1.20.

The signal line has crossed over the moving average convergence/divergence (MACD) line, showing two straight bullish sessions. The Elliot oscillator shows three consecutive bullish sessions.